Unoccupied Commercial Property Insurance

Unoccupied commercial property insurance provides cover for a commercial building while it’s empty or not being used.
If a tenant moves out or how you use the building changes, speak to your insurance provider. You may need to let them know about the change, and restrictions or extra conditions could apply. Don’t assume your existing cover will carry on unchanged.
To see exactly what’s covered, check your policy schedule, wording and any endorsements – these set out your cover and any changes to it.

We’re proud to now offer unoccupied commercial property insurance at UKinsuranceNET. If you’re looking for specialist cover for an empty commercial building, our team is on hand to talk through your needs and help you explore your options.

If your building is occupied, our commercial property insurance page is a useful starting point. For an empty residential property, take a look at our unoccupied house insurance page.

When is a commercial property considered unoccupied?

The point at which a commercial property is considered unoccupied varies between insurers. Some policies may apply their unoccupancy conditions after 30 consecutive days, while others allow up to 90 days. These conditions can apply to all or part of a building.

However, this does not mean you should wait 30 – 90 days before reporting a change. Tell your insurance provider as soon as possible when your property becomes vacant, so they can explain what happens to your cover. Or, you may need to find alternative appropriate Unoccupied Commercial Insurance options, which is where we come in.

Who might need vacant commercial property insurance?

There are plenty of reasons a commercial building might stand empty. You could be:

• A landlord between tenants, getting ready for your next letting
• A business owner relocating, leaving your previous premises empty
• A developer, considering the next steps for a property
• Someone responsible for a building during probate or administration, while its future is being decided

Whatever your circumstances, tell us why the building is empty and what you have planned. We can talk through the options available for your property.

If you let commercial premises, you can also explore our commercial landlord insurance options.

What types of empty commercial buildings can I discuss with your team?

From a shop awaiting its next tenant to an office your business has outgrown, commercial buildings can become vacant for all sorts of reasons.

Speak to us about your:

• Shop or retail premises
• Office (used or in development)
• Warehouse
• Industrial unit
• Mixed-use building, such as a shop with a flat above it
• Vacant car dealership
• New build block of flats – pending let

Every building is different. We’ll talk to you about its current condition and whether any part is still occupied, so we can explore the options available.

Why does an empty commercial property need different insurance?

When your commercial property is empty, the risks can change. Damage may go unnoticed for longer, and you’ll still need to keep on top of security, inspections and maintenance while no one is using the building.
Perhaps your tenant has moved out and you’re looking for a new one. Even if you only expect the property to be empty for a short time, it’s worth checking your insurance and any conditions you need to meet while it’s unoccupied.
Your existing policy may restrict cover during this time, so don’t assume everything stays the same. If you’re unsure where you stand, give our team a call. We’ll talk through your needs and help you explore your options.

What can unoccupied commercial property insurance cover?

If your empty commercial property is damaged by an event covered by the policy, unoccupied commercial property insurance can typically help with the cost of repairs or reinstatement.
The cover available will depend on the property and the policy. Our team can talk you through your options and help you understand what’s included, so you can decide whether it’s right for you.
Terms, conditions, exclusions, limits and excesses apply.

Property damage cover

Cover for specified causes of damage such as:

• Fire, lightning and explosion
• Storm and flood
• Impact by a road or rail vehicle or animal
• Escape of water or oil

Additional requirements apply while a building is unoccupied, including conditions relating to security, inspections and water systems.

What should I know about the cover?

Knowing what’s included, and what isn’t, helps you decide whether the cover is right for your property. Our team is on hand to talk you through the details.

Under this policy, theft or attempted theft from an unoccupied part of the building isn’t covered. Breakage of fixed sanitaryware, such as sinks and toilets, is also excluded while the building is unoccupied, unless the insurer specifically agrees otherwise.

When you receive your quote, read it alongside the policy schedule, wording and any endorsements for the full picture of your cover. If anything’s unclear, just ask us.

What affects the cost of empty commercial building insurance?

Every property has its own circumstances, so your quote will be based on your building and the cover available for it.

When you call, we’ll talk through details such as:

• Location: where your property is situated
• Building type: its construction, size, condition and previous use
• Security: how it’s secured and the arrangements for checking it
• Length of vacancy: how long it has been empty and how long you expect that to continue
• Your cover needs: the sums insured and any optional cover you’d like to discuss

Having these details ready helps us understand your property and talk you through your quote. We’ll also explain the security and maintenance requirements you’ll need to meet.

How do I look after my commercial property while it’s empty?

A few regular checks and practical steps can help you look after your empty property and keep your cover in place. Knowing what’s required from the outset also helps you plan ahead – and our team can talk you through anything you’re unsure about.

Check your property regularly

• Start with a detailed inspection of doors, windows and other access points
• Inspect the premises every 14 days throughout the policy and keep a written record
• Address security weaknesses and report any unauthorised entry or attempted entry without delay through your broker or agent

Keep the building secure

• For non-residential buildings, all accessible windows and doors must be securely boarded over
• If an intruder alarm protects the premises, you’ll also need to meet the requirements for its maintenance, operation and key-holder arrangements

Manage utilities and water systems

• Disconnect mains gas, water and electricity, except supplies needed for the sprinkler, security lighting or alarm systems specified in the policy
• Drain down water tanks, apparatus, pipes and heating, apart from those connected to automatic sprinklers
• Check the additional requirements for fuel tanks and sprinkler systems where these apply

Keep the premises clear and maintained

• Remove loose or moveable combustible items and materials, other than fixtures and fittings
• Clear waste, refuse and post at least every 14 days
• Put any defects or dangers right promptly

These are the main requirements, rather than the full conditions, so read your policy documents for all the details. Not meeting the relevant requirements could affect a claim or whether your cover remains valid. If anything looks difficult to manage, speak to our team before arranging cover so we can discuss your options.

Why speak to UKinsuranceNET?

A change in occupancy is an important time to review your property insurance.

Our team are ready and on hand to talk specifically about your building’s circumstances, the cover available and the conditions you will need to meet while it is empty.

Every commercial property has its own story, so we offer this cover over the phone only. That gives our expert team time to get to know you, understand your property and talk you through the options, helping you find cover that suits your needs.

Unoccupied commercial property insurance FAQs

Will my existing commercial property insurance cover an empty building?

It depends on your policy. Your existing insurer may apply restrictions or additional conditions when your building becomes unoccupied. Tell them about the change rather than assuming the same cover continues.

How long does unoccupied commercial property insurance last?

Tell us how long you expect your building to be empty, and we can discuss the options available. Your policy schedule will confirm when your cover starts and ends. If you need cover beyond that date, speak to us before it expires.

Can a partly occupied commercial building be covered?

If part of your building is empty while the rest is still in use, tell us a little more about the arrangement. The policy’s definition of unoccupied can apply to part of a building, so the insurer will need to consider how each area is being used before cover can be confirmed.

Can I arrange insurance if my commercial building is already empty?

You can speak to our team about a building that’s already vacant. We’ll discuss how long it has been empty, its condition and the security arrangements to explore the options available. Cover and its start date will need to be agreed; it won’t automatically cover an earlier uninsured period.

Is property owners’ liability automatically included?

Property owners’ liability is included as standard. Our team can talk you through this when you call and your policy schedule will confirm it forms part of your cover.

Does the policy pay rent simply because I don’t have a tenant?

This policy doesn’t replace rental income simply because your property has no tenant. Optional business interruption cover is designed for financial losses following insured property damage, rather than gaps between tenancies.

Can I carry out building works while the property is insured?

If you’re planning building works, speak to us before they begin. Typically, as long as its not structural, renovation works will be covered. Please know the policy excludes loss, damage or liability arising from contractors’ activities. We can talk through your plans and explain what this means for your cover

Can I keep the same policy when a new tenant moves in?

Found a new tenant? Let us know before they move in so the insurer can review the change. Any change to your cover needs to be agreed, rather than happening automatically. Our team can guide you through the next steps.