Even Properties Far From Home Need Insurance

8/10/2010

Because of the economy and other reasons, many Americans find themselves maintaining home insurance policies on properties that are located in states other than the one they inhabit.

In some cases, homeowners have been forced to leave properties vacant because of financial hardship or changes in employment status. Others simply rent out their property for part of the year to tourists and others. Regardless, either scenario comes with insurance implications.

According to the Insurance Information Institute (III), home insurance companies will generally discontinue a policy if a property has been vacant for longer than 30 days, although some will grant vacancy permits. The organization added that vacancy permits will not usually cover things like water damage and broken glass.

One important thing to remember, notes the III, is that vacant homes are seen as being at greater risk for fire, vandalism and various forms of property damage.

The insurance group also reports that those who are renting out their property might benefit from landlord insurance policies. One common example of how this can be useful is a situation where a tenant is injured somehow on the property and ends up filing a lawsuit.