What Is Short Term House Insurance And When Might you Need It?

Short term house insurance is a specialist insurance product designed to protect properties for brief periods, typically anywhere from a few days to several months. Unlike your regular home insurance that runs for 12 months, this type of policy offers flexible cover for specific situations where traditional annual policies simply won’t do.

Let’s break down everything you need to know about this niche but vital insurance product.

When do you need temporary home insurance?

Life rarely follows a neat timeline, and property situations can be particularly unpredictable. Here are the most common scenarios where temporary home insurance becomes essential.

Property sales and purchases

When you’re caught between selling your current home and buying your next one, gaps in cover can emerge. Completion dates shift, chains collapse, and suddenly you’re left with an empty property for weeks or months. Standard home insurance policies often require the property to be occupied, leaving you exposed during these transitional periods.

Renovations and major works 

Planning a complete home renovation? Most regular home insurance providers get nervous about extensive building work. The level of cover under standard home insurance policies often excludes damage related to construction activities, making specialist short-term policies a necessity during major renovations.

Probate and inheritance 

When you inherit a property, there’s often a significant period of time where the house sits empty whilst legal matters are resolved. These properties can be particularly vulnerable to risks like vandalism, squatters, or damage from burst pipes—risks that increase substantially when a property sits unoccupied.

Holiday homes between lets 

Got a second home that sits empty between holiday rentals? Regular holiday home insurance might not cover extended vacant periods, particularly during off-seasons when your property could be unoccupied for consecutive days or even months.

How does unoccupied home insurance differ from standard policies?

Unoccupied home insurance is a crucial subset of short-term cover, designed specifically for empty properties. The insurance industry considers any property unoccupied after 30-60 consecutive days, depending on your insurance provider and the specific terms of your home insurance policy. 

Here’s where it gets tricky: most standard home insurance policies either exclude cover entirely for unoccupied properties or dramatically reduce the level of cover available. This is because empty homes face a higher risk of various perils:

• Increased security risks: Empty properties are natural targets for break-ins, vandalism, and unfortunately, squatters. Without regular occupancy, these issues can go unnoticed for extended periods, leading to more severe damage and higher insurance claims.
• Maintenance issues: When no one’s around to spot problems early, minor issues become major headaches. A small leak can turn into significant water damage, whilst heating failures in winter can lead to burst pipes and extensive damage to both buildings and contents.
• Delayed discovery: The longer problems go undetected, the worse they become. What might be a simple fix in an occupied home can escalate into a massive insurance claim when discovered weeks later in an unoccupied property.

Unoccupied home insurance policies acknowledge these elevated risks whilst still providing essential protection. They typically include specific security measures requirements and may have different exclusions compared to standard home insurance cover.

At Lemonade, existing home insurance customers get cover when away from their primary residence for up to 90 days, though the level of cover reduces after 60 days.

What does short-term home insurance typically cover?

Short-term home insurance policies generally mirror the structure of annual policies but with adjustments for temporary situations. Here’s what you can typically expect. 

Buildings insurance

Buildings cover protects the physical structure of your property including the walls, roof, windows, and permanent fixtures. For short-term policies, buildings insurance remains largely similar to annual cover, protecting against risks like fire, flood, storm damage, and subsidence. However, policies may have specific requirements around maintenance and security for unoccupied properties.

Contents insurance 

Contents cover protects your belongings inside the property. For temporary policies, this might include furniture left during house moves, tools and materials during renovations, or personal items in inherited properties. The sum insured should reflect the actual value of contents present during the policy period.

Legal cover and liability

Most policies include public liability cover, protecting you if someone is injured on your property. Some also offer legal expenses cover, which can be particularly valuable during property transitions or probate situations where legal costs might arise.

Many short-term policies also include cover for:

• Escape of water and burst pipes
• Malicious damage and vandalism
• Home emergency cover for urgent repairs
• Legal costs related to property issues

What short term house insurance doesn’t cover

Like all insurance products, short-term home insurance comes with exclusions, situations where your policy won’t pay out. Being aware of these helps you understand exactly what protection you’re getting:

• Wear and tear: Gradual deterioration isn’t covered by any home insurance policy. If your roof’s been leaking for months and finally gives way, that’s wear and tear, not an insured event.
• Maintenance-related issues: Problems arising from poor or neglected maintenance are typically excluded. This is particularly relevant for unoccupied properties where regular upkeep might be challenging.
• Specific security requirements: Many unoccupied home insurance policies require specific security measures, like regular property inspections and maintaining heating during winter months. Failing to meet these requirements could void your cover entirely. 
• Pre-existing damage: Any damage that existed before your policy started won’t be covered. This is why it’s crucial to document your property’s condition before taking out short-term cover.

How much does temporary cover typically cost?

Short-term house insurance costs vary based on your property’s risk level, location, and the sum insured you choose. Unoccupied properties face higher premiums due to increased risks like vandalism and delayed damage discovery. The level of cover you select directly impacts your premium. Whilst under-insuring might save money upfront, it could leave you seriously out of pocket if you need to make an insurance claim.

Policy duration also affects pricing, with shorter policies often costing more per day than annual policies when broken down. However, you’re only paying for the exact period of time you need cover. Watch out for cancellation fees if you need to end the policy early, some insurers charge penalties whilst others offer pro-rata refunds. 

How much temporary home insurance do you need?

For buildings insurance, you’ll need the full rebuild cost of your property, typically £100-200 per square foot depending on location and property type. This isn’t the same as market value; it’s what it would actually cost to demolish and rebuild your home to current standards. Your mortgage lender or a surveyor can help you get this figure right.

Contents cover should reflect what’s actually in the property during the temporary period. This might be minimal belongings during house moves, tools and materials during renovations, or existing furniture in inherited properties. Under-insuring might save on premiums, but if you make an insurance claim, most policies will reduce payouts proportionally—leaving you to cover significant repair costs yourself.

How can you find the right insurance provider?

Finding the right short-term home insurance requires a bit of research, as not all insurers offer this specialist product:

• Specialist providers: Some insurance companies specialise in unoccupied home insurance and short-term policies. These providers typically understand the unique challenges of temporary cover and offer more flexible terms than mainstream insurers.
• Insurance brokers: An experienced insurance broker can be invaluable when searching for short-term cover. They understand the market, can compare multiple providers, and often have access to specialist policies not available directly to consumers.
• Comparison sites: Some comparison sites now include short-term home insurance options, though the selection may be limited. These can provide a useful starting point for understanding market pricing and available options.

When evaluating providers, consider:

• Their reputation and financial stability
• Customer reviews on Trustpilot and similar platforms
• The specific terms and exclusions of their policies
• Their claims handling reputation
• Whether they’re regulated by the Financial Conduct Authority (FCA)

Finding the right protection for your home

Short-term house insurance fills a crucial gap when life doesn’t go to plan, offering essential protection during house moves, renovations, or inheritance situations. Whilst specialist providers can help with extended vacant periods or second homes, don’t overlook the importance of solid, year-round cover for your primary residence.

If you’re looking for straightforward home insurance that actually covers you when you need to be away from home, Lemonade offers flexible policies designed for real life. Our customers get full cover for up to 60 days away, and we keep things simple with no confusing jargon or hidden catches. 

Frequently asked questions about short-term house insurance