Home insurance for unoccupied homes

Most insurers will consider a house ‘unoccupied’ if it has been vacant for at least 60 consecutive days. This means if something happens after 60 days and you need to make a home insurance claim, you’ll pay an additional unoccupied excess.

No matter how long your property is vacant for, as long as you keep paying your home insurance premiums your policy will remain in effect and you’ll still be insured and protected against damage.

You won’t find a product called unoccupied property insurance or a product that is designed for vacant homes. If you want to insure an unoccupied home, simply take out a standard home insurance policy and let your insurer know when and how long the home will be vacant for – no extra steps required.

You’ll typically pay an unoccupied excess if your home has been vacant for 60 or more days and you need to make a claim. This is because insurers believe a long absence makes certain events, such as vandalism or the theft of valuables by burglars, more likely.

Additionally, if something was to happen while you were away like a burst pipe or a water supply issue, the damage is likely to worsen before you get back, making it more expensive to repair.

As you are more likely to suffer a loss or suffer a larger loss due to the property being vacant, insurers may impose an unoccupied excess to help keep premiums for all policyholders at a more acceptable level.

Your unoccupied excess may vary depending on your home insurance product and provider. Check your policy’s Product Disclosure Statement (PDS) and Target Market Determination (TMD) to find out more about what your payable unoccupied excess would be.

If you’ll be living somewhere else while your property undergoes renovations, there are some things to keep in mind. Your current home insurance policy remains valid, and you may also be covered by your builder’s insurance.

Additionally, if the total cost of the renovations and related works is $50,000 or less, you’ll typically have legal liability cover for any incidents that occur during the renovation works.

Whether it’s a standard rental property or a seasonal holiday home, landlord insurance will typically not cover your insured property past 60 consecutive days of vacancy. This may vary by policy and provider, but landlord insurance generally doesn’t offer cover for unoccupied properties.

Yes, if you’re on holiday for 60 days or more your home will still be insured under your current home insurance policy. However, you may have to pay an unoccupied excess if you claim for damage that happened if you were away and you didn’t notify your insurer.

If you’re looking to reduce the risk of something happening to your property while you’re away, you could:

• Get a neighbour or friend to leave their car in your driveway
• Arrange for someone to take your bins out and bring them in on bin day
• Ask a neighbour to collect your mail, or have your mail redirected
• If you have smart lights, you could set them up to turn on and off at certain points during the day

A combination of some or all of these tips could help convince potential burglars or vandals that your property is occupied, which in turn could preclude anything from happening to your property while you’re away.