As the housing market declines and struggles to rebound, many homeowners that are looking to downsize or relocate are finding it difficult to sell their current establishments. Many have chosen to continue on with their moving plans and have left homes empty. These empty homes create liability risks that may not be covered by a standard homeowners policy with your Oaklyn Insurance.
A homeowner’s insurance policy is generally only meant to insure occupied homes and therefore has exemptions included for properties that are abandoned or neglected. This could cause customer violations of contract that may leave them uncovered in the event of property damage.
Vacant homes are viewed as homes where the owner has moved out and taken all belongings. Unoccupied homes are homes that are furnished but have no one residing in them. These homes pose higher risks factors due to the lack of occupants. Including:
Break-ins: With no occupants in the home, a home can show signs of neglect- yards may be overgrown, newspapers and mail may be stacked up- these are signs to burglars that indicate an empty house and therefore an easy target.
Property Liability: The homeowner not being in residence does not mean they are not responsible for the activity that happens on the property. Should an accident occur, the homeowner is still liable
Emergency Response: Without anyone home, small issues such as a leaking pipe or an electrical fire can turn into costly disasters due to a lack of quick repair or a 911 call.
Due to these higher risk factors in vacant or unoccupied homes, many insurance companies have a ‘vacancy clause’ that goes into affect once a home has been empty for an extended period of time. These coverage changes vary from company to company and policy to policy. Some may state that the insurance company will not pay any claims once a home has been unoccupied for more than 60 days. Others may switch to a liability insurance only coverage.
The good news is that there are insurance companies willing to insure vacant and unoccupied homes. These policies are different than traditional homeowners insurance policies and may cost more, however, could save money should an accident occur on, or there be damage to the property.
At Connell Insurance Agency, we understand how stressful moving and selling your home can be. Call us today for more information on how we can help set your mind at ease during this transition. 888.590.0715