Vacant properties face a significantly higher risk of damage than occupied ones. The absence of routine monitoring and maintenance weakens the overall security of the property, making it more vulnerable to vandalism and burglary.
Moreover, maintenance issues like leaking pipes may also go unnoticed in early stages because the property is empty. Unoccupied property insurance provides crucial financial protection against these risks.
This blog explains what unoccupied property is and why it is important to protect your investments and property.
Unoccupied property insurance covers physical damage to the property left empty for an extended period. Typically, it applies to property that remains unoccupied for more than 30 to 60 consecutive days.
Standard unoccupied property cover is limited to major insured risks such as fire, flood, or storm damage.
Unoccupied property insurance sometimes also includes public liability cover. It protects property owners from financial loss if a third party is injured. It also covers claims for damage caused to another person’s belongings due to your property.
For example, if a burst pipe in your unoccupied flat leaks into a neighbour’s apartment and damages their furniture, your policy can cover the cost of repairs or replacement.
Additionally, a “water escape” cover is added to standard unoccupied property insurance. It protects against damage caused by pipe leakage. However, this add-on varies from policy to policy and depends on how long the property has been unoccupied.
Get a free quote now and secure your unoccupied property with Cubit Insurance.
Unoccupied Property Insurance is a specialised, often more expensive, version of property insurance designed to address the higher risk of damage to vacant property.
Also Read: Property Insurance for Your Business
Landlords often need unoccupied property insurance in the following situations:
Between tenancies: When your last tenant has left the unit, and you are unable to find a new tenant during this “void period”, the property is vulnerable.
Student rentals: Rentals to students may remain vacant for long periods. A good example would be during summer break or semester breaks.
Property repairs: You may find that the property cannot be occupied as you have to do major repairs or renovations; sometimes, it will sit vacant for an extended period of time.
New purchase: You purchased a new property, and no one is living there, for example, when you buy a second home or you buy properties to rent out.
Common conditions that landlords must follow to keep their unoccupied property insurance valid include:
You or a nominated person must inspect the property on a set schedule. Insurers often require weekly checks, but some may permit fortnightly or monthly checks, particularly during warmer months.
A log or record of these visits must be kept, and you may need to provide evidence, such as dated photos or security logbooks, if you make a claim.
All access points, including doors and windows, must be locked and secured. Insurers may specify that you use certain types of locks that meet British Standard requirements. Any alarm or CCTV systems on the property must be activated and maintained.
Owners must maintain the property externally. The property should have a well-maintained appearance. External maintenance can include keeping the front garden neat. This approach creates the impression that the property is occupied.
As a landlord, you must inform your insurer about property status changes. You should notify them when new tenants move in or if major renovations begin.
Unoccupied property insurance helps protect your property before new residents move in. It ensures that any damage that occurs before tenants move in does not affect your rental income or delay the process.
Let our friendly team help you find the right insurance at the best price to suit your needs.
Your property must be thoroughly inspected. Have locks repaired, ensure alarms work, and check the proper functioning of window locks. A duly secured property is a poor target for thieves or vandals. The same measures also help you satisfy your insurer’s requirements and retain the validity of your cover.
Take care of heating and plumbing before leaving the property unoccupied. Most insurers recommend emptying the water pipes. In the colder months (typically October to April), insurers often require you to maintain a minimum level of heating to prevent frozen and burst pipes.
Such measures will prevent a leak. Maintenance will prepare your property for subletting or residency without waiting for repairs.
Organise regular visits or designate someone to monitor the property. Damage, leaks, and break-ins are the primary signs to look for. By doing so, you reduce the risk of unnoticed problems. It also proves to your insurer that the property is being cared for.
Once new tenants move in, you can switch to a landlord insurance policy or reinstate your standard property cover.
At Cubit Insurance, we help you find flexible unoccupied property cover. We work to protect your property during vacancy. Choose a policy that fits how long your home will stay empty. You can also add Public Liability Insurance for extra protection. It covers injury or damage caused by your property. Our team guides you to the right level of cover so your property stays safe before subletting.
Let our friendly team help you choose the right insurance for you!
Let Cubit Insurance find insurance for you at an affordable price. Our expert team will evaluate your needs and suggest the best policy right for you.
