If your dog bites a potential home buyer visiting your home the liability coverage in your homeowners policy should cover the claim. | Unsplash
When you plan to sell your home it’s also time to check your homeowner’s insurance policy to make sure you’re properly covered especially if the home is left vacant which most likely ends your coverage.
If you are living in the home when it’s for sale, your policy probably covers any problems that might crop up.
If the house or your belongings are damaged, dwelling and contents coverage should take care of it, Forbes.com reported.
If a potential buyer gets bit by your dog or slips and falls in your home, liability coverage will kick in. If a member of the household – including your pets – is responsible for bodily injury or property damage to others, liability coverage will pay the claim. Medical payments coverage will handle small injury claims.
But if you leave the home vacant, you might not have any coverage.
“If your house is unoccupied, your homeowners insurance will likely cancel your policy or deny any claims you make,” Josh Stech, CEO of Sundae, a real estate site, told Forbes.com. “You’ll need to read the fine print in your individual insurance policy as this can vary from insurer to insurer.”
Expect the vacant home policy to cost 120% more than your homeowners policy premium, Bill Samuel, owner of Blue Ladder Development, a Chicago-based home-buying company, told Forbes.com. Insurance claims on vacant property are statistically more likely.
“This covers certain things that regular insurance policies do not cover when it comes to homes that are not occupied, such as vandalism, arson, fires and theft,” Jamie Safier, a real estate agent at Douglas Elliman in New York City, told Forbes.com. “It can be added on to your current policy or bought separately as its own unique policy.”
Safier advised homeowners to consider vacant home insurance whenever they are away from the home for more than 30 days.
Alerts Sign-up