Unoccupied Home Insurance

Unoccupied home insurance can be a lifesaver if you own a second residence that you leave unoccupied for extended periods of time, or if you're leaving your primary home vacant during a renovation. Unoccupied home insurance extends your cover to include longer periods of vacancy than a standard home insurance policy typically allows. When you buy comprehensive house coverage in place for your unoccupied house, you can rest assured that you'll have the financial resources you require to pay for any damages that occur whilst you are away.

The terms and benefits of an unoccupied home insurance policy may vary depending on the type of property in question and the reason for the vacancy. If you are leaving a residence completely vacant, with no furniture, carpets, appliances or other personal items left in place, you may require a product that's tailored to protect vacant structures. A second or holiday home may require a different type of cover, which insures the furnishings and other property inside the house as well as the structure, itself.

Risks of Home Vacancy

A standard residential building and contents policy covers the structural components of the dwelling -- including its walls, floors, ceilings, doors and windows and permanent fixtures -- and the movable items that fill the rooms. Furnishings, curtains, dishwashers, heating or cooling systems or other items that could be moved from the building are covered under the contents component of a traditional policy. Most policies protect your house against perils such as fire, smoke, storms, floods, falling objects, aircraft or vehicle collisions, vandalism or burglary.

A traditional contract also includes a list of circumstances or perils that are excluded from coverage. These conditions present such a high level of risk to the insurer that the company will not cover them unless you add specialist insurance to address these specific circumstances. Damages that occur to a house or its contents during a period of vacancy longer than 30 days are generally excluded, as are damages caused by neglect, faulty maintenance, deterioration or pre-existing flaws.

When a house is left unoccupied, many incidents may occur, from fires caused by faulty wiring to extensive damage caused by water escape from frozen pipes. If no one is in the house to cover a broken window or repair a broken door, theft is more likely to occur. Rain or snow may enter a dwelling through a faulty roof or cracked window pane. Unoccupied home insurance protects your property during times when you are unable to be on the premises to make repairs immediately.

Insuring an unoccupied residence can raise your premiums; however, you may have greater peace of mind about your unoccupied property if you carry this specialist cover. If you travel out of the country frequently, all risks contents insurance can be added to your cover to extend the coverage limit for the valuable belongings you keep inside your home. If you plan to remodel your residence or sell the property, and you intend to leave the dwelling completely empty, you may find affordable coverage to insure the structure whilst it is unoccupied.

Second Home Insurance

A second residence policy is a form of unoccupied home insurance that protects a holiday property that is occupied only during certain times of the year. If you own an investment holiday dwelling that you let to summer guests or tourists, consider adding public liability insurance to your policy to protect your financial interests against third party claims. Public liability coverage pays out if one of your guests or short term tenants is injured or suffers property damage whilst staying on your premises.

If you employ a caretaker, gardener or housekeeper for your second residence, you are required by law to carry employer's liability insurance. Any business that employs one or more individuals must carry this form of protection, which pays out if your employees fall ill or become injured as a result of circumstances at work. If you employ only immediate family members, you may be exempt from this component of unoccupied home insurance.

Multi peril unoccupied home insurance protects your building and its content against all possible perils, with the exception of a list of exclusions. This level of protection may be more costly than named peril unoccupied home insurance, which pays out for only a limited list of hazards. All peril policies, which insure your property against any eventuality, have become increasingly costly and difficult to obtain.

To find reliable unoccupied home insurance that's tailored to your needs, compare a quote from several providers. Your contract should address all of the relevant risks that affect your vacant structure or holiday building. With access to the internet, you can easily compare the features and benefits of several policies in a comfortable, secure setting.