Empty home insurance or vacant home insurance is defined as the type of insurance policy secured by a homeowner while the house remains unoccupied for a period of time. It generally covers the property against cases of theft and fire.
Due to the limitation of typical home insurance which usually does not cover a property which is not occupied for more than 30 days, empty home insurance is offered by insurance companies as one of the property insurance in Singapore.
With no human presence at home when you are away for a period of time, it becomes an ideal place for theft and malicious activity by people with ill intentions. Having to face the mess created and not able to recover the financial loss will leave you in a very pathetic situation. However, with the purchase of empty or vacant home insurance policy, you can be assured that such occurrences are covered and you are able to claim the financial loss as per the insurance contract.
When do you need Empty Home Insurance?
There are times when empty home insurance need to be purchase. If you are traveling for business purposes for a long duration, it is a good idea to cover your Singapore property with empty home insurance so that you can travel in peace and focus on your business without having to face any surprises when you are attending to business needs. Individuals with apartments outside Singapore or houses in other countries may wish to travel there for some time to unwind, spend their retirement or just have a long vacation. Another possibility is that the lease of your tenanted apartment has ended and you could not find a new tenant for more than 30 consecutive days. With no insurance coverage from your usual home contents insurance and fire insurance, what if the place is on fire? What if someone breaks in and steal the televisions, refrigerator, furniture, etc.?
Empty home insurance policy usually covers both the building and the furnishing in the house but does not cover third party damages. In Singapore, such vacant home insurance is becoming more popular as home owners are more aware of the availability of such insurance, the limitation of their usual home or fire insurance and more individuals are travelling for various reasons. With the awareness of empty home insurance, people residing in Singapore has accepted the need to mitigate the losses from unexpected circumstances associated with vacant home.
How People Benefited from Empty Home Insurance?
Below are the typical settlement or compensation methods in respect of losses under the empty home insurance:
- The actual value - This is where a calculation is based on the value of the asset at the time of loss fewer depreciation costs.
- The extended replacement cost - Upon signing the contract, there may be an agreement to pay a higher value than the insured amount.
- Replacement cost valuation - This is where only the damaged property is replaced according to the market value of the same kind.
- Agreed loss settlement - The settlement is as per the list of contents as declared during the inception of the policy.
How People without Vacant House Insurance Suffered?
There’s no doubt that if there is no vacant home insurance coverage and damage sets in, the homeowners will carry the burden of replacing the assets and renovating the place out of their pocket in order to restore the house to its original condition. Sometimes it never happens due to financial constraints.
If you are going to buy an empty home insurance policy now, we would advise that you search for reliable and reputable insurance companies who have been in operation for decades and have clear policies. Understand the claims well so that you know exactly what is covered. Compare the prices and coverage of insurance policy offered by competing companies and choose the most value-for-money vacant home insurance policy. Alternatively, you can leave the search and recommendation of empty home insurance policy to us. We make sure that we provide you with a comprehensive comparison of empty home insurance policies offered by various insurance companies so that you can select the policy which meets your needs.
Call us now at or email us at [email protected] and we will get in touch with you. We advise clients on wide range of insurance products, including travel insurance, home insurance, mortgage insurance, pet insurance, landlord insurance and other property insurance (including overseas vacation property insurance). Our travel insurance quotation is really competitive for you to start off with.