Vacant Building

What Does Vacant Building Mean?

A vacant building is one that has been abandoned, unoccupied, or empty for a certain period. In the context of insurance, vacancy is highly relevant for property coverage. This is because many property insurance policies include exclusions if a building remains vacant for an extended period.

Insuranceopedia Explains Vacant Building

Property insurance companies often exclude coverage for vacant buildings because the risk of loss increases significantly when a building is unoccupied. For example, vacant buildings can become targets for vandalism, leading to broken windows or graffiti. Water damage can also go unnoticed and worsen in vacant buildings. As a result, many property insurers discontinue coverage if a building remains vacant for 30 or 60 days.