Unoccupied Real Estate: Is It The Next Big Thing?

home insurance

Why Is Unoccupied Property Insurance Necessary?

When a facility is left vacant for an extended length of time – as little as 14 days – normal coverage may be decreased or even terminated. This is because an empty property is considered a risky property by the empty property insurance direct line. Anyone who has lived in a house that has been vacant for more than a few weeks knows how quickly it begins to show indications of abandonment and neglect. Commercial properties are no exception, and if left unoccupied, they can quickly become vulnerable to:

  • Vandalism
  • Squatters 
  • Burglary & Theft
  • Fire
  • Vermin
  • Flood

In the event of a flood or fire, being empty can cause the alarm to be raised later, causing the damage to worsen. If your building is going to be empty for an extended period of time, you’ll require professional coverage for these reasons.

Guide to Unoccupied Property Policy

Given the hazards, it’s critical to make sure you have enough coverage, coverage that provides you with:

Liability insurance for property owners — in the event that someone is injured or their property is damaged.

  • Storm protection
  • Coverage for typhoons and floods
  • Water or oil escaping
  • Protection from theft or attempted theft
  • Protection against malicious damage
  • Glass breakage protection in the event of an accident
  • Protection from double glazing
  • Subsidence protection

This form of home insurance for an empty house can be costly, especially if your broker doesn’t have access to specialised schemes, thus if you want to save money, we recommend:

  • Shop around 

You might be shocked at how much insurance costs can vary.

  • Using a specialist broker 

You can acquire reasonable, high-quality protection by working with an expert like UK Insurance Net. We can also assist you in locating coverage with flexible cancellation terms, so you only pay for the time you use.

  • Choosing the sort of coverage you require

Buildings-only coverage is less expensive, but contents and buildings coverage is more comprehensive.

  • Ensure you have appropriate insurance

As previously stated, 82 per cent of UK properties are underinsured. One of the main reasons for this is that their rebuild cost estimations (the cost of rebuilding the property) are excessively low, which might result in catastrophic losses in the event of a claim.

How to Save Money on Coverage

When purchasing this sort of policy, you will most likely be expected to take reasonable measures to protect the security of the facility while it is vacant. Regular inspections will almost certainly be required to ensure its safety. There are also several simple techniques to assist lower the cost of house insurance for an empty house and the likelihood of a claim:

  • Improved Security

Improved door locks, key driven window locks, security lighting, and web-based alarms and CCTV systems are all inexpensive and simple to install.

  • Employ security guards

Having a professional on hand to keep an eye on things can significantly decrease hazards and costs.

  • Keep it Looking Lived In

Collect mail, set lights on timers, go in and out at different times when completing inspections, keep heating systems running, and have people use any available parking spaces to make it appear lived in.

This should give you a fair understanding of and make a conclusion about whether unoccupied real estate insurance is the next big thing.