Empty Property Insurance

Dal_Whinnie

We have a property which we have let out for a number of years and have always insured buildings and landlord's contents with a Property Landlord's insurance. We decided to sell the property and have had an acceptable offer but the surveys undertaken show that the ground floor floor needs replacing. The purchaser still wishes to proceed but is awaiting confirmation from their lender that they will still lend. The empty period is approaching 90 days which impacts the current insurance. I therefore have following questions:

1. Assuming that current policy conditions effectively negate the insurance what type of insurance would be available going forward
2. What would be the answer assuming that the purchaser is able to continue with the purchase and will undertake the work themselves
3. What would be the position if the purchaser is not able to continue until the work has been carried out so I have to undertake significant work on the property before we are able to proceed with the sale

Slithery

Dal_Whinnie said:

1. Assuming that current policy conditions effectively negate the insurance what type of insurance would be available going forward
   

Empty property insurance.

eddddy

If you're planning to replace the floor - you probably want 'Renovation Insurance'. (Google renovation insurance for some examples.)

Renovation Insurance generally covers properties whilst their unoccupied awaiting renovation, as well as while the work is being done.


Or if the property is just going to be empty until exchange of contracts / completion - google Unoccupied Property Insurance.


Read the terms carefully - they'll probably be a requirement to inspect the property periodically, turn off the water supply, and maybe even drain heating systems, water tanks etc.

Dal_Whinnie said:

What would be the answer assuming that the purchaser is able to continue with the purchase and will undertake the work themselves

You don't mean letting the purchaser do the work on the house before exchange of contracts or before completion, do you?

Dal_Whinnie

eddddy said:

If you're planning to replace the floor - you probably want 'Renovation Insurance'. (Google renovation insurance for some examples.)

Renovation Insurance generally covers properties whilst their unoccupied awaiting renovation, as well as while the work is being done.


Or if the property is just going to be empty until exchange of contracts / completion - google Unoccupied Property Insurance.


Read the terms carefully - they'll probably be a requirement to inspect the property periodically, turn off the water supply, and maybe even drain heating systems, water tanks etc.

Dal_Whinnie said:

What would be the answer assuming that the purchaser is able to continue with the purchase and will undertake the work themselves

You don't mean letting the purchaser do the work on the house before exchange of contracts or before completion, do you?

Thankyou for these commentsWill get looking at google!

1. Given property has already been empty then you are right about inspection, water, etc but thanks for warning, always easy to overlook, especially between tenancies
2. No, I don't mean let the purchaser do the work before completion but that they will be able to proceed with the purchase and then undertake the work after completion.

canaldumidi

Your current insurer may allow you to continue the policy subject to conditions eg

* no cover for contents (do you even have any there?)

* visiting/staying overnight once every week/month/whatever or

* draining down the water/heating systems etc

Worth asking them.