COVID-19 Conditions For Unoccupied Properties

The following information will help you to prevent a breach of your insurance cover.

Government restrictions mean many businesses have closed temporarily which can result in buildings currently being left unoccupied.

If your insurance policy has unoccupied / security conditions and your property was unoccupied prior to the COVID-19 outbreak, then the usual security conditions required by your insurer are the same as before. These conditions may include among other things at least weekly visits, removal of combustible waste, switching off gas, water and electricity and letterboxes sealed.

You should refer to your policy wording for the exact requirements defined by your insurer. 

For premises that have become unoccupied during the COVID-19 outbreak due to Government restrictions, a number of insurers are relaxing their policy requirements for the time being. During this period, insurers will continue to review their position. 

Please contact us immediately if;

  • the outbreak has left you unable to comply with the policy requirements, as your insurers need to be informed and any arrangement with your insurers to relax or vary the requirements needs to be agreed in writing;
  • your property policy has multiple underwriters writing lines on it, as each of these might have different unoccupancy conditions;
  • your policy wording is different to the guidance given in the table below, or you are in any doubt at all.

The table below includes a summary of the unoccupancy position where we have obtained responses from Insurers. If your Insurer is not listed in column A on this table, please contact customer services for more information. If your insurer is listed, please check your insurer’s occupancy position in column B and if your property is going to be left unoccupied for more than the total consecutive days then you MUST notify us.

 

A: INSURER

B: OCCUPANCY POSITION

 C: INSURER RESPONSE

Ageas

Unoccupancy clause does not currently apply if premises are unoccupied due to COVID19 - AGEAS will review again by 11/10/20.

Detailed response.

AIG

The period of unoccupancy specified in the policy document 30 days will be extended to 60 days OR until the end of the period of the UK Government lockdown effected 23rd March 2020; if earlier.

-

Allianz (Including LV)

Unoccupancy conditions apply again for all policyholders from 30 June – refer to your broker if you are unable to comply.

Detailed response.

Ansvar

Unoccupancy clause does not currently apply if premises are unoccupied due to COVID19. Ansvar will review 30/08/20.

Detailed response.

Arch

Unoccupancy clause does not currently apply if premises are unoccupied due to COVID19. Arch will review 31/8/20.

Detailed response.

Aro

ARO have agreed to extend the unoccupied period by a further 30 days taking it to 120 days in total, where cover will not be reduced. This is applicable only to hair and beauty, pubs, restaurants and cafes as government guidance has allowed the reopening of retail shops subject to social distancing measures. Any trades that require the additional 30 days that do not fall into the categories stated will need to be refereed to ARO for further consideration and restricted cover may apply.

 

Aviva

90 days, extended by a further 45 days to 5th August, after that date all policies revert to normal terms and conditions relating to unoccupied premises.

Detailed response.

AXA

Full cover extended to 15th July only for those businesses which remain compulsorily closed. Where closure is no longer mandated, the unoccupancy clause applies from 27th June 2020.

Detailed response.

Beazley

Beazley have confirmed they have amended their unoccupancy clause to 120 days, in respect of COVID19. Please contact your broker for more information.

-

Burns & Wilcox

For those premises still forcibly closed, the Unoccupancy Conditions continue to apply, subject to the conditions stated previously around inspections etc. If, when allowed to open again, an Insured chooses not to, perils are likely to be restricted to FLEA only, but this can be discussed case-by-case with us.

-

CFC

CFC have indicated they are likely to amend their unoccupancy clause to 120 days, in respect of COVID19. However we are awaiting confirmation from CFC. Please contact your broker for more information.

-

Chubb

90 days but continuing thereafter only for businesses that must remain closed under Government restrictions – for all other circumstances, please refer to your broker with full details.

Detailed response.

C N A

Normal policy terms apply from 15th July 2020.

Detailed response

Covea

Business premises which continue to be temporarily unoccupied due to Government restrictions on trading as a result of Covid-19. We do not need advising of this. Existing levels of cover will be extended until 31 July 2020 or until Covéa update this guidance (whichever is the sooner). We expect our policyholders will now be able to comply with normal policy conditions around the inspection of unoccupied Business premises.

Business premises of policyholders who are permitted to return to trading by the Government but which remain unoccupied. Normal policy conditions around Unoccupancy apply.

Detailed response.

Ecclesiastical

Unoccupancy clause does not currently apply if premises are unoccupied due to COVID19. Ecclesiastical will review 30/08/20.

Detailed response.

Hiscox

90 days. Extending to 16th Sept 2020 for businesses not yet allowed to open.

Detailed response.

Markel

Unoccupancy extension will apply until 31st August 2020, then normal terms will apply after that date.

-

NIG

90 days, extended by a further 45 days to 5th August 2020. Further review at that point in time.

Detailed response.

NMU

Please refer to your existing policy wording.

-

QBE

As of 1/6/20 - If the Government says the buildings are able to be occupied then QBE’s temporarily unoccupied buildings cover specific to lockdown stops operating. If the building remains vacant after 7 days the unoccupied building conditions in the wording become operative. If the government continues to mandate that the location is closed then the COVID 19 specific approach to temporarily unoccupied buildings continues.

Detailed response.

Regency Underwriting Services

Existing customers can continue without an MTA being made subject to the existing unoccupancy terms within the policy wording, only where the business is temporarily closed based on current government guidelines. It should be noted that cover is restricted as per the policy wording after 30 days.

 

 

 RSA

Normal policy terms apply from 19th July 2020.

Detailed response.

Travelers

As a result of lockdown restrictions being eased, from the 15th July their 30 day unoccupancy condition applies.

-

Victor

Please refer to your existing policy wording.

-

Zurich

Unoccupancy clause does not currently apply if premises are unoccupied due to COVID19.

Detailed response.

  

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