Can I Get Fix and Flip Insurance for Vacant or Unoccupied Properties?

Nate Jones, CPCU, ARM, CLCS, AU
1 day ago
2 min read

Investors purchasing properties to rehab and resell often encounter a challenge: the property will be vacant or unoccupied during the renovation. Standard homeowners or landlord insurance usually excludes vacant properties, leaving a potential gap in coverage.

That’s where fix and flip insurance comes in. At Wexford Insurance, we help property owners nationwide secure coverage specifically designed for vacant or unoccupied rehab properties.

Why Vacant Properties Need Special Coverage

Vacant homes carry higher risk due to:

Theft or vandalism of construction materials, appliances, or tools
Water damage from plumbing leaks or storms
Fire damage during renovations
Liability for anyone injured on the property

Without coverage, property owners assume all financial risk. According to the Insurance Information Institute, vacant or under-construction properties are significantly more vulnerable to losses than occupied properties.

How Fix and Flip Insurance Covers Vacant Properties

Fix and flip insurance typically includes:

Property Coverage – Protects the structure and any renovations in progress.
Liability Protection – Covers injuries to workers, contractors, or visitors on the property.
Theft and Vandalism Coverage – Ensures stolen materials or intentional damage are reimbursed.
Optional Endorsements – Include flood, earthquake, soft costs, and debris removal for comprehensive protection.

This coverage ensures your investment is protected from the moment you take ownership, even if the property is empty.

Tips for Insuring Vacant Fix and Flip Properties

Secure the property – Use fencing, security cameras, or alarms to reduce risk and possibly lower premiums.
Document materials and tools – Keep an inventory of construction supplies stored onsite or off-site.
Choose appropriate endorsements – Flood or soft cost coverage may be necessary depending on location and lender requirements.
Coordinate with your lender – Many lenders require proof of insurance before closing, especially for vacant rehab properties.