Does it cost more to insure a vacant house?
Asked by: Dr. Celia Romaguera | Last update: January 8, 2026Score: 4.9/5 (41 votes)
Is it hard to insure a vacant house?
Unfortunately, typical homeowners insurance policies don't cover most claims on a vacant property because they often have vacancy clauses, which restrict or exclude coverage on properties that have been vacant for a certain time – usually 30 or 60 days.
What is the difference between vacant and unoccupied?
“Vacant” and “Unoccupied” Mean Different Things
An unoccupied property is one that does not currently hold people but does still have furniture and other business or personal belongings. A vacant property is one that does not currently hold people or belongings.
What happens when a house sits vacant?
Houses that sit vacant just seem to disintegrate on their own. They start rotting, get water leaks, etc. They are also, vandalized and systems are stolen as well as wiring, carpet, HVAC, Hot water heaters and appliances. Some people breakin to get out of the weather and start fires.
What is the 80% rule in homeowners insurance?
The 80% rule means that an insurance company will pay the replacement cost of damage to a home as long as the owner has purchased coverage equal to at least 80% of the home's total replacement value.
Insuring a vacant home The cost of probate property insurance
What is the 50% rule in insurance?
In California's personal injury cases, the concept of 50/50 liability applies when both parties are equally responsible for an accident or incident. This shared responsibility is also referred to as equal fault or shared fault, and it falls under the broader category of comparative fault.
How long can my house be empty?
Exactly how long you can leave your home empty before you'll need to tell your insurance provider will depend on who handles your policy. At Homeprotect, we need to know if your property is unoccupied for more than 30 consecutive days or more so that we can factor these increased risks into your policy terms.
Why are vacant homes a problem?
Vacant, abandoned, and deteriorated properties—referred to by some as “blighted properties”—pose significant costs to public health, property values, local taxpayers, and more. Failing to address vacant homes, abandoned houses, and empty lots costs more in the long run and causes more harm over time.
How long can a house stay unoccupied?
A crucial aspect to consider is insurance coverage. Most standard home insurance policies will cover an empty property for only 30 to 60 days. If your property is likely to be unoccupied for more than 30 days, it's essential to contact your insurance provider.
How much is insurance for a vacant house?
On average, vacant home insurance costs 50% to 60% more than standard homeowner premiums. For example: In Washington, a standard homeowner's premium costs $1,016 to $1,300 annually. The vacant home insurance would cost $1,524 to $1,950.
Can you insure a house if no one lives there?
Generally, your home is considered vacant if it's left empty for 30 to 60 days or more. Most typical homeowner policies won't provide full coverage for the property once it's been vacated. Vacant home insurance can be purchased to help. Why is vacant home coverage different from other home insurance?
What happens to a house when no one lives in it?
As many Southerners know, an unmaintained house will quickly dilapidate, so it's crucial to stay up to date on home repairs and replacements. If vandals and squatters don't get there first, moisture will eventually commandeer an abandoned home.
Why is it more expensive to insure an empty house?
Increased Risk of Damage: Vacant homes are more susceptible to certain risks such as vandalism, theft, and undetected damage. Without occupants regularly present to deter potential intruders or address maintenance issues promptly, the likelihood of damage occurring increases, leading to higher insurance premiums.
Is it illegal to live in a house without insurance?
Is every homeowner required to have it? Theresa Simes, a Farmers Insurance® agent in Fountain Valley, California, discusses the need for home insurance. A: Home insurance isn't required by law, but there are other reasons to insure your home.
Do people insure vacant land?
At ISU Armac, we're dedicated to helping residents and business owners in Victorville, California, and beyond, find affordable and comprehensive insurance coverage. If you're wondering, “do you need insurance for vacant land?” the answer is a resounding yes.
What happens when a house sits vacant for years?
Water is one of the primary reasons that vacant or abandoned building will start to decay. If water from precipitation, such as rain or snow, gets inside the home and is not attended to, this can cause a lot of damage. Water damage can include dissolving drywall, rotting wood, rusted metal, and melted plaster.
Do vacant homes sell faster?
Do Houses Show Better Empty? While an empty house may show more available space, it can raise doubts for some potential buyers. For example, they may not be able to eyeball whether their California King bed will fit in the master bedroom. That's why staged properties tend to sell more quickly.
What state has the most vacant homes?
Which states have the most vacant homes? In 2022, the states with the highest gross vacancy rates were Maine, Vermont, and Alaska. Notably, Maine has recorded the highest gross vacancy rate in the nation for 11 of the past 12 years.
How long can your house be empty?
Generally, there are no set-rules in place that state how long you can leave your unoccupied property vacant for. However, it is important to note that most standard home insurance providers will only cover an empty property for 30 to 60 days.
Is an empty house harder to sell?
It's important to note that vacant homes don't sell for less simply because of their empty interior. As we've discussed, having the homeowners out of the house can actually make the selling process easier. The real reason that vacant homes don't sell for as much money is because of the lack of emotional connection.
Should water be turned off in empty house?
Be sure that the temperature is set to at least 55 degrees Fahrenheit (or even higher if your property is further north). Even if you leave the heat on, you should still turn off the water and drain the system, too. What if the power goes off during a winter storm? The pipes would freeze.
What is the 80% rule with insurance?
Some insurers offer tools or worksheets to help homeowners assess their property's value. In fact, these are a requirement in California. Once you have your total replacement cost, you multiply this value by 0.8 to find out what 80% of the replacement cost is.
What is the insurance 5% rule?
In each insurance year you can withdraw up to 5% of the premium paid into your policy without a gain happening in that year. An insurance year begins on the anniversary of the date of your policy was taken out and ends on the day before the anniversary in the next year, except in the final insurance year.
What is the FEMA 50% rule?
The 50% Rule is a regulation of the National Flood Insurance Program (NFIP) that prohibits improvements to a structure exceeding 50% of its market value unless the entire structure is brought into full compliance with current flood regulations.