Checking your unoccupied commercial property

December 5, 2024

There could be any number of reasons why your commercial property is left empty and vacant for a while this winter. Perhaps you’re taking advantage of a lull in trading at this time of the year to get the builders in and carry out some renovations. Maybe you’ve moved out for a while as you restructure your business operations.

Whatever the reason – and if you haven’t got it already – specialist, standalone unoccupied commercial property insurance is typically required for the duration of your absence. Why this is so important  – and why your existing property insurance typically will not suffice – is explained in our blog: What to look out for with vacant premises.

So, once you have unoccupied commercial property insurance and the vital line of defence it provides, you need to be aware of the conditions you must typically meet to keep it valid.

Regular property inspection 

In most cases, your policy documents might specifically state that the insured property must be kept in a good state of repair. Whether or not this is stated in the fine print, though, the insurer is entitled to that requirement as part and parcel of your general obligation to mitigate the risk of any loss or damage to the property.

Some structural elements may be obvious candidates for attention, repair, and maintenance – leaking roof, gutters, windows, or doors, for instance, can be the source of considerable – and expensive – damage.

While carrying out your repairs and maintenance inspections, always also check for potential weak spots in the building’s security systems. Is there any evidence of squatters, vandals, or other intruders, for example?

Check you are meeting the conditions of your property insurance

Maintaining the structure and fabric of the building in a good state of repair is a general condition of any property insurance. When it is temporarily unoccupied, that requirement is also typically backed up with your obligation to make regular, logged inspections. These might be monthly, fortnightly, or even weekly.

Your unoccupied property insurer may also impose specific requirements designed to keep your building and its services safer while the premises have been vacated. Examples of such precautionary measures may include maintaining an ambient heating temperature to avoid the risk of frozen water pipes or even draining down the systems to prevent any escape of water.

Policies will vary from one insurer to another, so be sure to ask your insurance broker about any specific requirements in your policy’s terms and conditions. At the same time, it will be prudent to review and understand the risks covered in your unoccupied commercial property insurance policy.

Prepare for severe weather

In the deep mid-Winter, of course, we can expect all manner of severe weather – and storms, lashing rain, and rising flood waters can cause untold damage to your commercial property – and this damage may go unnoticed  for a while especially if it is temporarily unoccupied.

Consider any vulnerabilities of the property in the event of severe weather and take whatever precautions may be available to protect it from loss or damage.

The Met Office not only provides forecasts of forthcoming episodes of severe weather but also offers advice and suggestions about safeguarding your property during such events.

Unoccupied property undergoing works?

If your commercial property will be unoccupied due to renovations, you will need specialist unoccupied property insurance for properties undergoing works.

At Alan Blunden, we provide both unoccupied commercial property insurance cover and cover for properties undergoing works. We would be delighted to help you get your property properly protected. Call us today on 01702 826060 for a no-obligation quote.

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