“The risks associated with vacant properties are different than the risks of occupied properties,” says Jim Gontjes, senior product manager for Foremost®. “Obviously, landlords don’t wish for their properties to be unoccupied, but they need to have a plan.”
It’s imperative for a landlord to have a discussion with their insurance agent or broker about the property should it become vacant. Many landlord insurance policies do cover brief periods of vacancy, but if a property experiences an extended unoccupancy, coverage may be affected. “In addition to informing their insurance provider about the status of the property, it’s important for landlords to take extra steps to help make sure the unit will be maintained and secure,” adds Gontjes.
Landlords should do the following to best protect any vacant property:
- Secure the property. It’s imperative to make sure a vacant property is secure without drawing attention to it. Make sure all doors and windows are locked and place bars or rods into the tracks for further security. Consider installing extra deadbolts for the doors and grilles for the windows to increase protection, but avoid boarding up the windows. Install motion sensors on any outdoor lighting that will switch on if anyone approaches the building. Think about getting a monitored security system if the property doesn’t already have one.
- Perform regular checks. A property that’s vacant should be checked every seven to ten days for damage or signs of forced entry. If inspections are conducted regularly, potential problems can be corrected quickly before they develop or worsen.
- Make the property look occupied. Remember that the less a unit looks vacant, the more secure it is. Don’t completely close curtains or blinds and install timers for some of the lights. Make sure any possible deliveries to the property are cancelled unless someone is there to receive them.
- Do some yard work. Overgrown gardens and lawns are telltale signs that a property is not occupied. Either schedule time to do the work or hire a lawn service to visit the property on a regular basis. If the building is located in an area that gets snow, make sure all sidewalks and the driveway are cleared after snowfalls.
- Check for possible fire hazards. Any flammable materials or substances should be removed from a vacant property to reduce the possibility of fire damage. In addition, any appliances that remain in the unit should be unplugged.
- Prevent water and gas problems. The amount of work done here depends on the amount of expected vacancy, the time of year and the location. If the property is in a cold climate, water lines may need to be drained and shut off if the gas is going to be shut off. Otherwise the heat needs to remain on at a reduced temperature to help prevent the pipes from freezing.
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Information courtesy Foremost Insurance, a part of the Farmers Insurance Group of Companies.
