Unoccupied building insurance is a distinct product rather than an extension, and it exists because insurers treat an empty structure as a different risk rather than a lighter one. It is written in short terms, carries its own set of conditions, and is priced above the equivalent occupied cover. Buildings arrive at it from every direction: probate, refurbishment, a failed letting, a sale that stalled, a business that closed.
What the policy covers, and what has to be argued for
Fire, lightning, explosion and aircraft are always there. Storm and flood usually. Escape of water, theft, malicious damage and accidental damage are frequently available but often at a higher excess or with conditions, and sometimes only for part of the term. Property owners liability is included, because an empty building still owes a duty to anyone lawfully on or near it, and an unsecured empty building can create a liability all of its own.
The inspection condition, which is the heart of the policy
Almost every unoccupied wording requires the building to be inspected at stated intervals, commonly weekly or fortnightly, by a responsible person, with a written record kept. The record is not bureaucracy: it is the evidence that the condition was met, and an insurer facing an escape of water claim will ask for it before anything else. Where nobody local can do it, a managed inspection service costs less than the claim it protects.
Winter, water and heating
Most claims on empty buildings are water. The standard conditions offer a choice: keep the heating running at a minimum temperature through the colder months, or drain the system down entirely and isolate the supply. Both work; doing neither is what fails. Where the building has a sprinkler or a wet fire system, draining down is not a free choice and the insurer needs to know.
Commercial empties, which carry an extra problem
An empty commercial unit attracts business rates after a relief period and is a target for theft of metal, cable and plant. Insurers pay close attention to how it is secured and to whether the utilities are isolated. Where the building is part of a larger property with occupied units, tell the insurer which parts are empty rather than describing the whole building one way or the other.
Questions people ask about unoccupied building insurance
Is unoccupied insurance more expensive?
Usually yes, sometimes considerably. An empty building has nobody to notice a leak, deter a thief or raise an alarm, and insurers price that.
How long can I buy it for?
Typically three, six or twelve months, renewable. The short terms exist because most empties are temporary and owners do not want a full year's commitment.
Can I do the inspections myself?
Yes in most wordings, provided a written record is kept with dates. Some policies require a named responsible person; a few require a professional inspection on larger or commercial buildings.
What if work is being done to the building?
Renovation beyond minor decoration usually needs a different product and the contractor's own cover alongside. Tell the insurer the scope before work starts rather than after.