Unoccupied Property Insurance: A Practical Guide For Owners

What we cover in this practical guide to unoccupied property insurance

Properties become unoccupied for various reasons. Maybe you’re preparing for renovation work, the owner has moved into long-term care, or the home is tied up in probate. Whatever the situation, once a property is empty, it enters a different category in the eyes of insurers — and that’s where things can get a little confusing.

This practical guide to unoccupied property insurance breaks down what you need to know in simple, down-to-earth terms so you can make confident decisions about protecting an unoccupied home.

Why Unoccupied Properties Are Treated Differently

When no one is living in a property, problems can sit unnoticed for much longer. A leak, a smashed window, or signs of forced entry might not be discovered for days or even weeks. That delay increases the likelihood of more serious damage, which is why insurers apply different conditions and sometimes restrict cover.

It’s not about making life difficult — it’s about managing risk.

What Types of Unoccupied Property Insurance Cover Are Available?

There’s no one-size-fits-all policy for unoccupied homes. Insurers offer a wide range of options, from very limited cover (such as Fire, Lightning, Aircraft and Explosion only) to full perils that look more like a standard household policy.

The key is understanding what level of protection you actually need and what you’re realistically able to comply with.

So What Questions Will The Insurers Ask You?

Before offering cover, insurers want to know how the property will be looked after while it’s empty. Expect questions around:

1. How often you can inspect the property

Weekly inspections usually attract better premiums than monthly ones. The more frequently you can check the property, the lower the perceived risk.

2. What security measures are in place

Are you willing to seal the letterbox, board up ground-floor windows, or take other steps to deter break-ins? These measures can open up more policy options and reduce costs.

3. Heating arrangements

Will you leave the heating on at a low level, or do you need to drain the system? Draining the system often reduces the risk of escape of water claims, which can make more insurers willing to quote.

4. Utilities and general maintenance

Will the property remain connected to water and electricity, or will it be isolated? The more controlled the environment, the lower the risk.

Your answers to these questions help determine which policies are available and how much they’ll cost.

Understanding the Sum Insured

If you’re switching from a standard household policy to an unoccupied property policy, you may not know the exact rebuilding cost. Unoccupied policies are often written on a commercial basis, meaning the sum insured directly affects the premium.

For example:

• A property insured for £100,000 might cost around £200.

• Another property insured for £500,000 could cost around £1,000.

Getting the rebuild cost as accurate as possible helps avoid over or underinsuring and keeps premiums sensible.

Some insurers offer blanket cover — often up to £1,000,000 — which can be a lifesaver if you don’t know the exact rebuild cost. These policies are less common but can be a very practical alternative.

The Most Common Claims on Unoccupied Properties

From experience, the most frequent claim on unoccupied homes is theft, especially the removal of copper piping. Unfortunately, thieves rarely drain the system before cutting pipes, which often leads to significant escape-of-water damage in addition to the break-in itself.

It’s a messy, expensive combination — and a good reminder of why the right cover matters.

Unoccupied Property Insurance: In Summary

Unoccupied properties come with their own set of risks, and insurers respond to these risks with varying requirements and levels of cover. The key things to keep in mind are:

• How often you can check the property

• What security measures you’re willing to put in place

• Whether you’ll leave the heating on or drain the system

• How accurate your rebuild cost is

  
  

The more proactive you can be, the more options you’ll have — and the more likely you are to secure a policy that’s both suitable and cost-effective. If you would like to start ticking off the checklist today, give us a call, and we will help you get going!

Property Owners Insurance