Owner, Paul Nelson Insurance Services, Santa Cruz, CA
It's more expensive because there is more risk of something happening and going unmitigated. If someone is living in the home, then a leaking pipe, fire, or roof damage will usually be identified much quicker and can be handled before they cause significant damage. Vacant homes also pose a higher much risk for vandalism.
Vice President/Agent, Best Rates Insurance Inc, Kalispell Montana
The reason that the home is more is because the house has no one or anything in it and that puts it at a higher risk for vandals and damages to go undetected till it is to late. with the home vacant the would no one there to notice a fire if it started. Or pipes froze and burst no one would be able to detect damage
It is looked upon as a very high risk to the insurer since the property is not occupied daily where there is a high percentage of vandalism and other internal issues such as pipes breaking that would not be reported.
There are insurance compaines that will insure these risks with a high price to pay until the property is renovated and occupied, then an admitted carrier insurance can be purchased at the competitive rates.
.JPG){kind=avatar}
There are insurance compaines that will insure these risks with a high price to pay until the property is renovated and occupied, then an admitted carrier insurance can be purchased at the competitive rates.