This morning I was speaking with a friend that’s an insurance broker. We were talking about homeowner policies for a buyer that I’m currently working with. I mentioned something about a vacant house and the broker cautioned me that a homeowner should always contact their insurance provider if their house is going to become vacant, as their coverage may no longer be effective. I had never heard of this, and after polling several agents in my office, neither had they.
Apparently most homeowner insurance policies only cover owner occupied houses. So if you move out of your home and it’s going to be vacant before the closing, you’ll want to alert your provider. If it’s only a couple of weeks until the scheduled closing, they may be fine with it. You may not need a change in policy. If it’s a longer, indefinite time period, you may need to have a change in policy, or rider, attached to your current policy. It may add an additional expense to your insurance bill, but at least your home will be covered if there is a major issue (fire, vandalism, etc.). Disclaimer: Check with your broker/provider for specifics, as I am not an insurance agent…
Remember, it’s also a good policy to have a neighbor, your REALTOR, a family member, etc. check in on your home at least once a week once you’ve moved out if you’re no longer in the area.