Can you provide a coverage opinion under the ISO Dwelling Policy regarding what constitutes “Occupancy” as it relates to the 60-day vacancy provision?
Louisiana Subscriber
I'm looking at the DP 00 03. The exclusion is if the property has been vacant for more than 60 days before a loss, and that buildings under construction are not vacant. So what is a vacant? When terms aren't defined, courts turn to a standard desk reference. Merriam-Webster defines vacant as: 1:not occupied by an incumbent, possessor, or officer and 2: being without content or occupant. Number 2 fits the scenario the best- a property without content or occupant. If the property was furnished and someone could live in it, then it is unoccupied. Merriam-Webster defines unoccupied as: a: not busy : unemployed and b: not lived in : empty.
So for the property fall under the vacant exclusion, it needs to be pretty much devoid of any property that would make it liveable. No beds, no furniture, no or few appliances etc. If the insured is traveling for 2 months but left the house as is, with a neighbor getting the mail and mowing the lawn, the house is unoccupied, but not vacant. The insured can come home, do laundry, eat the snacks in the pantry, watch tv and go to bed. But if the insured bought a house that needed renovating, and the property was empty while the renovations were taking place and the building burned, that building would be vacant. Here's an article that addresses it: Policy Definitions of Occupancy and Vacancy.