If someone who has passed away owned their own home and lived in it alone, it is highly likely the house will become unoccupied while executors apply for probate while dealing with the deceased’s estate. Unless another family member is able to move in, the property may remain empty throughout the period of probate.
As their loved one, handling the insurance for this property may become your responsibility, which is hard when you’re grieving.
To help, we’re answering your questions about getting the right insurance cover for an unoccupied house in probate.
Why do insurance companies treat unoccupied properties differently?
When a property is unoccupied, it is at a greater risk than a property which is lived in on a continuous basis.
Minor faults, like a leaking water pipe, may develop into a serious problem if there is no one there to react and get it repaired quickly. Empty properties can also be targeted by burglars, arsonists, squatters, and vandals. You can personally take steps to protect the property if you aren’t able to check on it regularly.
Who can legally take out a policy on a probate property?
Once you’ve applied for probate and become the executor of their will, you’ll be the only person who can take out a policy for that property.
An executor may have already been named in the will, but if not, a close living relative can apply. There may be a volunteer, but if there isn’t, you can decide as a family who can take on that responsibility and act in the best interest of the deceased.
Can the insurance company transfer cover to the executor of the will?
In some cases, the insurance company can transfer the policy to the executor, but this will vary from company to company and policy to policy. Give the insurer a call to see what they can do to help you.
Does insurance cover lapse when the policyholder dies?
This varies by insurer. Some may allow the policy to continue for a short period, but many will require it to be updated or replaced due to the change in circumstances. It’s extremely important to review the cover promptly, as the policy would need to be moved into the executor’s name and the change of occupancy declared, if necessary. Acting quickly helps ensure the home remains properly protected during what is already a difficult time.
Home insurance lead at Adrian Flux, Chelsea Shakespeare, said: “If we aren’t made aware of a client’s passing, the policy will continue to run, but it is likely to become invalid due to the change in name, occupancy and circumstances. That’s why it’s so important to update the policy or arrange a new one as soon as possible.”
Is there a grace period before cover lapses?
Some insurers give a grace period of about 30 days for you to inform them of the homeowner’s passing. Then they can talk you through the next steps. In the time after a loved one’s passing, a lot may be required of you, so we recommend getting this out of the way so you don’t risk the existing policy being void.
Chelsea said: “When we’re informed of a client’s passing, we handle the policy changes with sensitivity and make sure everything is corrected straight away. If the current insurer isn’t able to continue cover, we’ll step in as a broker to find the right alternative, so the property remains properly protected without added stress for the family.”
What happens to cover if the probate process is prolonged?
A lot of household insurance policies include a vacancy clause (or something similar), which covers the property forusually anything up to 30 days. This is typically enough time to act out the deceased’s wishes and pass on the home or start the selling process, but be aware that this isn’t always the case.
As mentioned, if the property isn’t occupied after this time, it’s left vulnerable, and your insurer will most likely want to change the standard insurance policy to an unoccupied policy.
What insurance is needed for an unoccupied home?
Understandably, there will be a lot to think about when your loved one has passed, so you may think their existing house insurance will work during this process, but actually, it will need to be switched to unoccupied insurance cover if the property is likely to remain vacant. At the same time, the policy must be updated to the executor’s name, as they become the legally recognised representative of the deceased’s estate. The executor takes on responsibility for managing the policy, ensuring conditions are met, and dealing with any claims that may arise.
You may also need to cover any contents remaining in the house while deciding what to do with your loved one’s items.
Chelsea added, “Sorting through someone’s belongings after they have passed away can be a very difficult task and understandably isn’t always a top priority. While building cover is an important aspect of insurance, ensuring there is cover for the contents is also vital.”
“Make sure the policy reflects the reality of the situation. Many standard policies reduce or restrict cover when unoccupied, so ensuring the right protection is in place will give you the breathing space to deal with the property and its contents without added stress”
What are the benefits of unoccupied probate home insurance cover?
As a specialist home insurance broker, Adrian Flux offers unoccupied home insurance policies that come with a range of benefits and give you peace of mind. These include:
- Cover for any unoccupied home, including listed buildings
- Domestic assistance helpline with advice and contact details for tradesmen
- Varied policy length depending on your needs
- Discounts for alarms and security locks
- Discount when you take out combined buildings and content cover
Insurance for an unoccupied property
If you need probate home insurance, we can talk you through your options and find you a policy that suits your needs, avoiding any unnecessary fuss.
Call us for a quote on 0800 916 1270 or request a callback at a time that suits you.
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