As the name indicates, insurance for empty properties covers properties that are standing unoccupied.

There are a number of common questions that arise when thinking about this.

Why is insurance for empty properties cover required?

Every insurance provider has their own way of viewing risks and calculating the insurance premium required to cover those risks.

Typically, however, they may see an empty property as one being at a far higher risk than an occupied property in a number of areas including:

• break-ins, theft and associated vandalism;
• cumulative problems (eg. small leaks turning into very large and damaging ones);
• unnoticed damage causing other problems (eg. a broken window).

That’s why insurance for empty properties may be required – it is covering a different set of risks to those associated with classic buy to let insurance or owner-occupier cover.

In fact, this form of insurance for empty properties cover may be required by either owner-occupiers or landlords (see below).

When is a property empty?

It may make sense to get a precise definition from your insurance provider or by looking at the terms and conditions associated with a buy to let insurance quote or a traditional home buildings and contents insurance policy (depending on whether the property is your home or an investment property). Interpretations and definitions as to what constitutes a vacant property may differ.

However, typically a property will be considered empty if it is unoccupied for more than 30 consecutive days – for whatever reason.

If that sounds a lot, in practice it may happen easily if you’re:

• away on extended holiday;
• overseas on a lengthy business trip or assignment;
• have a house in probate or which is unoccupied pending a divorce settlement;
• have the decorators in or builders working on restoration etc.

This condition may apply to policies taken out by owner-occupiers or buildings and contents insurance policies taken out by landlords as part of landlords’ insurance. It may apply equally for both types of property owner.

How would people know?

If you make a claim, your insurance provider has a right and an obligation, to consider your claim professionally.

Insurance providers typically have methods of checking the exact status of your property at the time the incident, which subsequently led to the claim, occurred.

Making a false declaration as part of a claim is also a potentially serious offence that may, in some situations, result in prosecution.

Summary

For all these reasons, it might be prudent to think a little more about insurance for empty properties. It won’t take long to research and it may save you a lot of worry (and money) further down the line.