Vacant Home? Notify Your Insurance Carrier

If you're planning to leave your home unoccupied for more than 30 days, it's important to notify your insurance carrier as your home may be considered vacant. Standard homeowners insurance policies typically don't cover vacant homes due to the increased risks of theft, vandalism, and other damage. Vacant homes are more vulnerable to break-ins and damage, and insurance companies often exclude these properties from standard policies. Therefore, it's crucial to inform your insurance carrier and explore alternative coverage options, such as vacant home insurance, to ensure you're adequately protected during periods of vacancy.

Vacant vs unoccupied homes

Vacant vs. unoccupied homes: what's the difference?

The primary difference between vacant and unoccupied homes is the presence of furniture and other personal belongings in the house. A vacant home is completely empty (or close to it), while an unoccupied home has enough furniture that someone could come back and live in it at any time. Similarly, a vacant home may have its utilities turned off, while an unoccupied home still has services connected.

In general, case law defines the term vacant as "completely empty" – meaning a lack of both people and personal property. A vacant home may be defined as "substantially empty of personal property necessary to sustain normal occupancy". An unoccupied home, on the other hand, has enough personal items to indicate that someone could be living there. For example, an unoccupied home would contain cooking utensils, functioning appliances, and basic furniture.

Vacant and unoccupied homes are treated differently by insurance companies. Policies contain vacancy exclusions but not unoccupancy exclusions. Vacant homes are seen as a higher insurance risk, as they are more vulnerable to theft, vandalism, and other damage. As a result, insurance companies often exclude vacant homes from standard property insurance policies. Vacant homes are also more likely to suffer from undiscovered damage, which can be costly.

If you expect your home to be vacant or unoccupied for more than a month, it's important to contact your insurance company to determine what kind of coverage you need. Vacant home insurance is typically more expensive than standard homeowners insurance, as the property is considered a greater risk.

When to get vacant home insurance

Vacant home insurance is a type of specialty insurance that covers properties that are uninhabited or considered vacant. This type of insurance is important as it protects homeowners from financial losses due to unexpected damage that occurs when they are away for an extended period of time. It is designed to provide financial protection from damage or loss of a vacant home.

If you plan to leave your home vacant or unoccupied for 30 days or more, you should consider purchasing vacant home insurance. Most insurance companies will deny claims if your home is left alone for longer than 30 days. Therefore, it is important to review your insurance policy and understand how your insurance company defines vacancy and unoccupancy, as there may be specific restrictions on the length of time your home can be left unattended.

Vacant home insurance covers many of the same things as a standard homeowners insurance policy, but under different circumstances. Vacant home insurance typically covers damage or loss caused by fire, windstorm, hail, riot or civil commotion. It can also include coverage for other structures, such as a shed, vandalism, mischief, liability, and personal property.

Vacant homes are considered a greater insurance risk because they are more vulnerable to break-ins, vandalism, and other types of damage. Without someone there to regularly check on the property, issues such as water leaks or fires may go unnoticed, leading to more extensive damage.

The cost of vacant home insurance is typically higher than a standard homeowners insurance policy, with an average increase of 50-60%. The cost will depend on the insurance company, the policy chosen, and the home's risk profile. Some companies may offer shorter-term policies or prorated annual costs if the home is not vacant for the entire year.

How to purchase vacant home insurance:

• Determine if you need vacant home insurance by finding out how long your home can be unoccupied before it is considered vacant.
• Check with your current insurance provider to see if they offer vacant home insurance and whether it is added to your existing policy or requires a separate policy.
• Shop around and compare quotes from different insurance companies, considering factors such as monthly costs, deductibles, and coverage limits.
• Apply for vacant home insurance by gathering the necessary documents, such as proof of ownership and the estimated value of the home.

What does vacant home insurance cover?

Vacant home insurance is a type of specialty insurance that covers properties that are uninhabited or considered vacant. This type of insurance is important because typical homeowners insurance policies don't cover most claims on vacant properties due to the increased risk of vandalism, theft, and other damage. Vacant homes are also more susceptible to issues like burst pipes, fires, or natural disasters, which can go unnoticed and cause more extensive damage.

Vacant home insurance covers many of the same things as standard homeowners insurance, including damage from:

• Fire
• Windstorm
• Hail
• Riot or civil commotion
• Explosion
• Lightning

However, some perils may be excluded, such as theft and vandalism, and liability coverage is usually not included. You may be able to add these coverages, but it depends on the insurance company and the specific policy.

Vacant home insurance can be purchased as a separate policy or as an endorsement to your existing homeowners insurance policy. If purchased as a separate policy, you won't need to maintain a standard homeowners insurance policy. If purchased as an endorsement, it serves as an add-on to your existing policy.

It's important to note that the cost of vacant home insurance is typically higher than standard homeowners insurance due to the increased risks associated with vacant properties. The average cost is about 50%-60% more for an annual plan. However, if the home doesn't remain vacant for long, the cost may be prorated.

How much does vacant home insurance cost?

Vacant home insurance is typically 50% to 60% more expensive than a standard homeowners insurance policy. This is because vacant homes are at a higher risk of damage, theft, and vandalism. The exact cost will depend on the insurance company, the policy, and the home's risk profile. For example, the cost will be affected by the age and location of the home, the length of vacancy, the presence of a security system, and the condition of the property.

On average, vacant home insurance costs $1,500 to $3,000 per year, compared to $1,000 for a standard homeowners insurance policy. However, this can vary depending on the specific circumstances. For instance, in Washington, the average cost of vacant home insurance is $1,524 to $1,950 per year, while the average cost of a standard homeowners insurance policy is $1,016 to $1,300.

Vacant home insurance can be purchased as a separate policy or as an endorsement to an existing homeowners insurance policy. Some insurance companies offer vacant home insurance for specific time periods, such as three, six, or twelve months. If the home is no longer vacant before the end of the policy term, some insurers will refund the unused premiums.

How to get vacant home insurance

If you leave your home unattended for weeks or months at a time, your homeowners policy likely won’t provide coverage in the event of a claim during the time it is unoccupied or vacant. Therefore, it is important to consider purchasing vacant home insurance to help protect your property and provide peace of mind.

Vacant home insurance is a specialty insurance product that provides financial protection from damage or loss of a home that is uninhabited. This type of insurance can be purchased as a separate policy or as an endorsement. If purchased as a separate policy, you will no longer need to pay for a standard homeowners policy. If purchased as an endorsement, it serves as an add-on to your existing homeowners policy.

• Determine whether you need a vacant home insurance policy: Find out how long your home can sit unoccupied before it’s considered vacant, then determine whether you need vacant home insurance. Remember to be honest with your insurance company about the status of your property.
• See what’s available through your current insurance provider: Ask your insurance provider how they handle vacant home coverage. Some insurance companies allow you to add coverage to an existing policy, while others require a completely separate policy.
• Shop around and compare quotes: Don’t be afraid to shop around for the best coverage and price. When comparing companies, consider factors such as deductibles and coverage limits, in addition to monthly costs.
• Apply for your vacant home insurance: Gather the necessary documents, which may include a government-issued ID, proof that you own the property, the estimated value of the home, and the estimated amount of time it may sit vacant.

Some large national insurance companies, like State Farm and Farmers, offer coverage for vacant homes through endorsements or separate policies. Additionally, some companies offer special coverage for vacant homes, including American Family, American Modern, Foremost (a subsidiary of Farmers), and VacantExpress.

Vacant home insurance is typically more expensive than a standard homeowners insurance policy, with costs ranging from 15% to 60% higher on average. This is due to the increased risks associated with vacant homes, such as slower emergency response times and a higher probability of break-ins.

Frequently asked questions