Home Buying a house, should we get home insurance from time of signing Contract ?

[NightOwl668]

We are about to sign Contracts, buying our new home. From reading various threads and postings on the subject of home insurance, it appears that we would be wise to take out insurance on the house once we sign/exchange Contracts.

The issue for us in this regard is that the house will require some refurb/alterations before we move in, and between time elapsed in closing sale and making the house habitable, we are talking about a few months.
Yet most of the insurance policy options we have researched would say that the quote is valid for only 30 days and the house must not be left unoccupied for periods of 30 days etc,under the terms of the policy, which it will in our case until the refurbishment etc is completed.

Not sure how to proceed with the insurance issue at this point given that we are advised to take out a policy from time we sign contract, on the basis that, from that date, we will have an insurable interest in the property. Anyone else had to deal with a similar issue ? All advice welcome ! Thanks !

 

[Ravima]

If you are getting a mortgage, it will be a condition of the loan that you have insurance on the property to cover the lenders interest (ie the loan amount). Once you sign the contract, you should insure the property. If you need to do some works to and will not be living in the property whilst these are ongoing, then you might be better talking to a broker.

none of the direct companies will take the property is it is unoccupied.

 

[NightOwl668]

Spoke with one broker today - the quotes he obtained are conditional on occupancy ! So how is one supposed to insure a property on signing the contract and for mortgage drawdown purposes, when occupancy won't happen until sale closes and keys handed over, which may take some weeks, even if house is ready to occupy? Is it possible to get insurance cover on a property at building stage / to finish and then convert to standard mortgage protection policy once fit out is complete and house ready for occupation ? Any advice welcome

 

[peteb]

Then no offence but he was a crap broker. Specify that you need a fire only quote for the property being unoccupied. The problem with these is that they are normally not convertible to a full policy as they tend to be underwritten by insurers not normally in the house insurance market. And there would only be a percentage refund.

 

[peteb]

Ring Alan B Kidds. They do unoccupied properties. No connection. Actually a rival broker.

 

[NightOwl668]

Many thanks for the info peteb!