Home Insurance: Owner's Death

A house is typically still insured for around 30 days after the owner dies, though the timeframe varies by insurance company. During this time, the deceased's family or the executor of their estate must contact the home insurance company, notify them of the death, and ask about their options for continuing coverage. If the insurance company is not notified within the specified timeframe, the policy will likely be cancelled.

The house is typically insured for 30 days after the owner's death

The death of a homeowner can be a difficult time for their family, and it can be hard to know what to do next. It's important to understand what happens to the insurance of a house after the owner passes away. Typically, a house is still insured for around 30 days after the owner's death. This period serves as a grace period for the family to notify the insurance company of the change in circumstances. It's crucial to alert the insurance company within this timeframe to avoid any issues with coverage.

During this 30-day period, the family or the executor of the estate should contact the insurance company, providing a death certificate and discussing the next steps for the policy. The insurance company may require some form of documentation, such as a death certificate, to make adjustments to the policy. This is a critical step to ensure that the insurance policy remains in effect and to protect the financial interests of the family.

If there is a surviving spouse, they are usually listed on the policy as well, and the insurance company will remove the deceased and replace them with the surviving spouse as the named insured. In some cases, an insurer may add a spouse who was not listed on the original policy. It is the responsibility of the surviving spouse to contact the insurer and confirm these changes.

If there is no surviving spouse, the responsibility falls on the estate executor to manage the home insurance policy. The executor must act promptly to change the policy and ensure that premium payments are made on time to avoid a lapse in coverage. The insurance company may provide the executor with a specific timeframe, such as 30 days, to secure the necessary coverages.

It's worth noting that insurance companies view empty properties as riskier, so they may request additional conditions or a vacant property policy during any period when the estate is being transferred. It's essential to maintain open communication with the insurance company and keep them informed about any changes in occupancy or ownership to ensure uninterrupted coverage.

Notify the insurance company within 30 days of the death

It is important to notify the insurance company of the policyholder's death within 30 days. This is because the insurance company may not pay out if a claim is filed before they are notified. This could result in significant financial losses for you and your family.

Most insurance companies give at least 30 days for the family to notify them of the policyholder's death. During this time, the family must continue to pay the current premium to avoid a lapse in coverage. If the policyholder's spouse is listed on the homeowners' policy, the policy will typically remain in effect. The insurance company will then remove the deceased and replace them with the spouse as the named insured.

If there is no surviving spouse, the executor of the estate must act to change the home insurance policy. The insurer may give the executor 30 days or the remainder of the policy to secure the appropriate homeowners' insurance coverage in the future as a new policyholder. During this time, the executor must continue to pay the current premium to avoid a lapse in coverage, leaving the home uninsured.

To notify the insurance company, you will need to provide a death certificate and other relevant documentation. It is also a good idea to follow up with a phone call to clarify your options and next steps.

Provide a death certificate to the insurance company

When a homeowner passes away, their family can keep the homeowner's insurance policy by making the premium payments on time. However, it is important to notify the insurance company about the death of the policyholder within 30 days. The surviving spouse must call the insurance company, provide a death certificate, and ask to be listed as the "named insured".

If the house is inherited, the inheritor must contact the insurance company within 30 days of the policyholder's death and provide a death certificate. The exact time frame varies by insurer, but it is usually around 30 days. If the insurance company is not notified within this time frame, they may cancel the policy, and the house will be without coverage.

To initiate a claim, it is necessary to have the policy documents, which include the legal contract, policy number, and beneficiary information. If these documents are not available, the beneficiary can contact the insurance company to request them. However, it is important to note that insurance companies are often acquired and sold, and policies can be lost or misplaced. Therefore, it is crucial to have a copy of the policy documents to initiate a claim.

Once the insurance company is notified of the death, they will use the information on file to locate the named beneficiaries. It is important to ensure that the beneficiary information is up to date, as changes in personal circumstances can make it harder to track down beneficiaries. When naming beneficiaries, it is recommended to include as much personally identifying information as possible, such as the full name, date of birth, and social security number.

In summary, it is important to notify the insurance company about the death of the policyholder, provide a death certificate, and discuss options for continuing coverage on the home.

Discuss options for a new policy with the insurance company

When discussing options for a new policy with the insurance company, it is important to note that the previous owner's policy does not automatically pass on to the inheritor of the home. The insurance company must be contacted within 30 days of the policyholder's death, with a death certificate provided, and discussions around continuing coverage must take place. If the insurance company is not notified within the specified time frame, they are likely to cancel the policy.

If you are the surviving spouse, you may already be listed as a policyholder, making the transfer of the existing policy relatively straightforward. However, if you are not the spouse, you may need to take out a new insurance policy. It is worth noting that some insurance companies may allow you to keep the current policy in effect until it expires, provided that you pay the premiums on time.

During the probate process, you have several options for insurance coverage. If you are selling the house, you may be able to maintain the policy under the deceased owner's name until the sale, or you may need to take out a new policy under the estate executor's name. If you are keeping the house, you can transfer the existing policy to your name if you have proof of being the beneficiary. However, if the house is vacant during this time, you will likely need to purchase additional coverage, such as vacant and unoccupied home insurance.

If you are unsure about your plans for the house, temporary or short-term home insurance may be necessary. This type of policy requires proof of an insurable interest in the house and is typically issued to the estate executor, with beneficiaries listed as additional policyholders.

The house may be insured during probate

Time is of the Essence

Notify the insurance company of the owner's death as soon as possible. Most insurance companies give at least 30 days to formally notify them, but it is important to act quickly to avoid any lapse in coverage. Send a copy of the death certificate and follow up with a phone call to clarify your options.

Understand the Probate Process

Probate is the legal process of administering the deceased person's estate, including their assets such as property, money, and possessions. This process can be complex and time-consuming, often requiring legal and financial assistance. During probate, the ownership of the property will be transferred to the beneficiary or new owner.

Maintain Existing Coverage

If you plan to occupy the house during probate and can prove you are a beneficiary, you may be able to maintain the existing insurance coverage. However, if probate takes a long time, contact the insurance company to discuss your options to ensure continued coverage.

Consider Temporary Insurance

If the house will be vacant during probate, the existing insurance policy may not provide sufficient coverage. In this case, you may need to purchase temporary or short-term home insurance, or even vacant home insurance, as standard policies often do not cover properties that are unoccupied for more than 30 days. This type of insurance can be more expensive than regular premiums.

Keep the Property Insured and Secure

It is crucial to maintain appropriate insurance coverage during the probate process to protect the property. Unoccupied properties are at a higher risk of break-ins, theft, and damage. Regular inspections of the property may be required by the insurer, and certain security measures may need to be implemented.

Frequently asked questions