The occupancy of your home describes who is living there and how often.
The “Who?”:
Owner-Occupied: Occupied by the same people who are listed on the deed
Tenant-Occupied: Occupied by anyone other than the people listed on the deed and theirchildren
The “How Often?”:
Primary: Main place of residence; the address on your driver’s license
Secondary: Your second home; occupied at least once every three months
Seasonal: Your vacation home; sometimes unoccupied for longer than 3 months at a time
We find that people assume that once their homes are insured, they’re insured the same no matter the occupancy. This is not the case. For an owner-occupied home being used as a secondary or seasonal residence, the policy must be rated that way. Often, the premium will be different and so might the insurance company requirements. For a home insured as owner-occupied that actually has a tenant, it’s a different type of policy altogether and the policy must be rewritten in order to be valid.
Please be aware: if you have a claim and the occupancy on your policy does not match your home’s true occupancy, your insurance company can deny your claim. They consider it a misrepresentation of the risk and legally, they don’t have to pay. It’s very important for you to let us know about any changes in occupancy so we can make the proper adjustments.
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