Vacant Homes: Insurance Validity

Leaving your house for an extended period can void your home insurance. Empty homes are more likely to be broken into and are more susceptible to damage, which is why insurance companies often require a home to be checked every 48-72 hours. The exact time period varies by insurer, so it's important to know what your policy requires. If you're planning to be away for a while, consider having a trusted friend or family member check in on your home regularly or hiring a house-sitter. Alternatively, you can purchase unoccupied or vacant home insurance, which is designed to provide financial protection for uninhabited homes.

Leaving for more than a few days without protection

Leaving your house empty for extended periods can void your home insurance. Insurance companies consider a home to be empty after just 48-72 hours, and long-term vacancy is usually considered to be between 30-60 days. If your house is left empty for longer than this, your home insurance policy can be affected.

If you plan on being away from home for an extended period, you will need to have a trustworthy adult occasionally check the condition of your home. Your policy will state how often your house-sitter needs to drop by and inspect the property. If you’re away for too long without having someone check in on the property, you may not be covered in the event of damage or theft.

To avoid this, you can set up a plan for a trusted friend or family member to routinely check your vacant home or have someone house-sit for the time you will be gone. Alternatively, you can purchase an add-on to your existing homeowner policy or a separate vacant-home insurance policy.

If you choose to have a friend or family member check in on your house during its period of vacancy, make sure they check each room to ensure nothing has happened. If your water has been left on, they should run the taps as well. They should also check that the heating system is functioning (especially in the winter). Depending on how long you’re out of the house, they may need to collect mail and perform general maintenance on the house as well. They should be informed of what to do in the event of damage or a situation where you lose power. Keeping a log of inspections can help if there is ever a claim. This all helps your friend or family member spot a small issue before it becomes a major one.

If you’re leaving your home empty for a longer period of time, you may want to opt for an add-on or separate vacant home policy. This generally includes all homes left empty for at least 30 – 60 days. These are not available to everyone and are based on the potential risks faced by your vacant home. Talk to your broker about your options, including ways to reduce your chance of damage (and your premiums).

Not informing your insurer of absences

Leaving your house empty for extended periods can void your home insurance. If you plan on being away from home for an extended period, you will need to have a trustworthy adult occasionally check the condition of your home. The frequency of these inspections depends on your policy and insurance company, but it is generally required that the house be checked every 48-72 hours. If you don't have someone check in on your property, your insurance company may not cover you in the event of damage or theft.

Each insurance company is different in terms of what it classes as a prolonged absence, but as a general rule of thumb, if your house will be empty for 30 days or more, it's prudent to let your insurer know. Some insurers might also require you to take extra precautions when your home is unoccupied during the winter to prevent frozen pipes from bursting.

If you're going to be away from home for a long period of time, you should contact your insurer before you leave to confirm your policy details and find out what steps are required to maintain coverage under your policy.

Not maintaining your home

Home insurance is designed to protect your home and your belongings, but it is not enough to simply have a policy. There are several things you need to do to maintain your coverage, and failure to do so could result in your claim being denied or your policy being cancelled. One of these is regular home maintenance.

If you don’t carry out essential repairs and maintenance on your home, you may void your insurance policy. For example, if you don’t replace missing roof shingles and then get water damage on your ceilings, your insurer may not cover the damage. Check with your insurer to see what’s expected of you when it comes to home maintenance. You are expected to look after your home and keep it in good condition. This includes doing annual or regular inspections of your home’s ventilation, plumbing, heating, and electrical systems, the roof, assessing for damages, controlling dust, and overall just making sure your home is structurally sound. A poorly maintained home can contribute to the depreciation of your valuables and even result in claims – due to poor maintenance – being denied. Without adequate home maintenance and regular repairs, your insurer may even void your home insurance policy.

Before you buy a homeowner’s policy, you should inform your insurance company of any existing damage to your home. Otherwise, you may void some types of coverage under your policy. For example, insurance policies exclude coverage for vandalism, water damage and glass breakage for buildings that are under construction. Therefore, you may need to arrange for special insurance to protect you during renovations.

It is also important to inform your insurance company of any future plans for renovations. A renovation could be considered a “material change of risk”, and if you don’t inform your insurance company, your coverage could be voided. Renovations may increase the “replacement cost” value of a home, and insurance companies will want to protect themselves from having to pay for reconstruction costs that they did not charge adequate premiums for.

Undertaking illegal activities

• Growing, manufacturing, processing, storing, possessing, or distributing drugs, narcotics, or other illegal substances or items.
• Any alterations to your home to facilitate any of the above.
• Causing intentional damage or harm to another person, their property, or your own property.

As a homeowner, it is your responsibility to know what is going on in your home, so pleading ignorance of illegal activity is rarely a successful defence. Therefore, you should never take part in illegal activities or allow roommates or tenants to commit illegal activities on your property.

In addition to voiding your home insurance, illegal activities can also have serious legal consequences. For example, filing a fraudulent claim is a crime that can result in arrest, fines, and loss of insurance coverage.

Filing a fraudulent claim

Your home insurance policy may also have a payout limit on valuable items such as jewellery, artwork, and other valuables. So, if you acquire any high-value items, speak with your insurer to ensure your coverage reflects the value of the items.

If you are the victim of a theft or your home has been vandalised or burgled, report it to the police. Get a police report and the names of all law enforcement officers that you speak with as you may need to provide the details of the event to your insurer.

Phone your insurance professional immediately. Ask the following questions: Am I covered? How long do I have to file a claim? Will my claim exceed my deductible? (If your loss is lower than your deductible, you probably won't want to go through the claims filing process.) How long will it take to process my claim? Will I need to obtain estimates for repairs to structural damage?

Promptly fill out any claim forms. If you establish that you'll be making a claim, your insurance company will send you the necessary claim forms—by law, these must be sent to you within a specified time period. Return the properly filled-out forms as soon as possible to avoid delays.

Have the insurance adjuster inspect the damage. Your insurance company will probably arrange for an adjuster to come and inspect your home. An adjuster is a company representative who inspects property damage to determine how much the insurance company should pay for the loss. They will interview you and inspect the property.

Prepare for the insurance adjuster's visit. Be prepared to show the adjuster any structural damage and have a list of damaged items ready so you can make the best use of the time.

Frequently asked questions