Vacant Home Insurance in New Jersey
If a home is not currently occupied, it may not be covered by your Homeowners Insurance policy. Therefore, it is imperative that you seek protection with a Vacant Home Insurance policy.
Recently, a vacant home was levelled by a natural gas explosion. The windows of two homes nearby were shattered and the blast was heard for several blocks. Part of the roof was blown off and pieces of the home were in the street, hanging from power lines and on top of neighboring homes. All that remained standing was the interior walls.
In the past year several vacant homes were destroyed by fire. By the time that firefighters arrived, the homes were fully engulfed in flames and deemed uninhabitable. One fire was cause by some workers nearby that were using a torch and the sparks ignited the fire.
Fortunately, in each of these cases, the homeowners were property protected with Vacant Property Insurance. Therefore, they were protected and were able to recover quickly following such devastating loss.
The Dangers Of Vacant Property
There are a number of different reasons why someone would own an unoccupied residential property in New Jersey. Perhaps the home is the property of a deceased relative that you have recently inherited; you have been transferred out-of-state by your company and have put your home up for sale or you purchased a home that you are not ready to move in to yet. And what about that little vacation cabin that you no longer use? All would need to be insured as a vacant home.
Vacant homes pose a great liability risk. Even when you are not presently living full time in a home that you own, you still need Vacant Residential Property Insurance to protect you and your family. This type of coverage will provide security against anyone who may access your vacant property and become injured. It may also protect you against the damages that may be caused by frozen or broken pipes.
Squatters, drug users and other vandals love vacant homes. Just last summer our client purchased a home that they planned to demolish. Weeks went by prior to the demo day. On the day the machinery arrived to knock down the house, a quick last minute walk through revealed that someone had been living in the house. The squatter had left for the day leaving his clothes, bedding and personal effects. (Must have been a real surprise when he returned later that day to see the house completely demolished). These situations are happening all the time, and the responsibility could be yours.
Even if somebody is in your home illegally they can still sue you if they are injured while on or in your property. Sounds absurd, but it happens. The actions of others could leave you in desperate financial hardship. Do not assume that since no one lives in the house, it does not have to be insured. Also do not make the mistake of insuring the property with a standard homeowners policy if the home is actually vacant. A misrepresentation of the homes status could cause you serious legal issues and denial of a claim.
How Much Vacant Home Coverage Is Necessary?
The amount of Vacant Home Insurance coverage that is required to adequately protect your home is simple. You will need to obtain coverage for the replacement cost value of the home - how much it would take to rebuild or replace the dwelling.
The longer amount of time that the home is left vacant, the higher the risk of vandalism. The risk is also increased for damages that may occur when there is no one there to monitor the home, plumbing, electrical and heating. Vacant Property Insurance will generally cover the physical damage to the home due to a covered peril, including vandalism.
When Should You Get Vacant Property Coverage?
If you are aware that your property is going to be vacant for an extended amount of time, you need to check with your current home insurance provider. If your insurance company is not willing to work with you to extend your current policy, then you need to purchase coverage through a Vacant Residential Property Insurance policy.
If you are actively attempting to rent out or sell your home, you may need to invest in Vacant Property Insurance if you do not expect the home to be occupied within a brief time span. When your home is on the market, it is difficult to predict when it may actually sell. This type of coverage will provide protection until the home becomes occupied by a buyer or renter. At that time a new policy can be written.
There is no need to stress about finding the right coverage. NorthEast Insurance Services is here to help with your Vacant Residential Property Insurance needs. All you have to do is click on the quote request button now to begin. You will be contacted shortly by a knowledgeable agent who will help you find the coverage you need at the best price, so you can rest easy knowing your property is safe.