Vacant Property Insurance for Florida Real Estate Investors

When you own investment real estate in Florida, there may be periods when a home sits empty for longer than a month. Maybe you are between tenants, updating the property, preparing to list it, or managing an inherited home. Many investors mistakenly assume their regular Florida investment property insurance or vacant rental insurance policy will protect them during vacancy, but most homeowner or landlord policies exclude losses once the home is vacant or empty for a period of time.

In Florida, a vacant home policy is written on a DP1 Dwelling Fire Form, a named peril policy designed specifically for vacant or unoccupied properties. It offers essential protection while keeping the property insurable until it is occupied again.

This article supports our main guide on vacant home insurance in Florida and helps real estate investors understand what a DP1 policy does and does not cover.

Vacant homes in Florida carry a significantly higher risk. Without someone present, small issues can go unnoticed and turn into significant losses. Florida insurers know this, which is why extended vacancy automatically triggers restrictions, exclusions, or claim denials on a standard homeowners policy.

A DP1 vacant home policy fills this gap by providing essential protection for the types of losses most likely to occur when a property is empty. It keeps your investment insured and properly protected during:

• Tenant turnover
• Renovations
• Probate or estate proceedings
• Delays in closing
• Permit or contractor wait times
• Listing a home for sale

Typical covered perils under a DP1 policy include:

• Fire
• Lightning
• Smoke
• Windstorm
• Vandalism
• Theft of attached items when allowed by endorsement
• Damage caused by vehicles
• Civil unrest
• Explosion

A DP1 policy is a named peril policy, which means only the specific events listed are covered. Anything not named is not included.

A critical area for investors to understand is water damage. A DP1 policy does not cover accidental water losses such as leaking pipes, plumbing failures, or appliance leaks. Because no one is present to catch a leak quickly, carriers remove this coverage entirely from vacant risks. This makes prevention of water damage, such as shutting off the water supply before leaving the property, a critical part of protecting your investment.

When Your Florida Investment Property Is Considered Vacant

Most insurance companies classify a home as vacant if it has been unoccupied for more than 30 to 60 days.

For investors, vacancy can happen more often than expected:

• Between tenant move out and move in
• During renovations and updates
• A property under contract but not yet closed
• A home listed for sale with no occupants
• During permitting delays
• During probate or estate settlement
• While waiting for storm repairs

Once the home exceeds the allowed vacant period, a standard homeowners policy may deny losses that occur afterward. Moving to a DP1 policy prevents this coverage gap.

Q: If I do not tell the insurance company my home is vacant, will it still be covered?

A: No. Even if you keep your regular homeowners policy active, a loss while the home is vacant is almost never covered. Homeowners policies are written and priced for occupied homes. Once the property sits empty for 30 to 60 days, vacancy conditions apply, and many claims, including fire, vandalism, and liability, may be denied.

Telling the insurance company upfront protects you. When you let us know the home is vacant, we can switch you to the correct policy type (usually a DP1), which is designed specifically for vacant properties. This ensures you have real, valid coverage if something happens. Staying silent does not keep your coverage; it only increases the risk of a denied claim when you need the policy most.

Many owners discover the vacancy exclusion after a claim is denied. This language appears in nearly all homeowners' and property insurance policies. To avoid that outcome, you must have a vacancy permission endorsement or be placed on a vacant home policy.

How Investors Can Protect a Vacant Property Beyond Insurance

Since DP1 coverage is basic, investors should take proactive steps to limit losses and protect their assets. Smart prevention can support your insurance strategy and help make the property more attractive to carriers.

1. Keep curb appeal maintained

An overgrown lawn sends a clear message that no one is checking on the property. Regular lawn care and simple exterior upkeep discourage vandalism and trespassing and keep the home ready for showings.

2. Use lighting timers and keep blinds closed

Basic lighting timers help the home appear occupied during the evening. Closed blinds also make it harder for someone to see that the property is empty or spot valuables.

3. Leave the internet service active for cameras and sensors

Keeping a simple WiFi plan in place allows you to install a doorbell camera or smart sensors that alert you to activity. Remote access makes it easier to check in without being on site.

4. Turn off the water supply

Water damage is not covered on DP1 vacant home policies, and leaks are one of the most common and most expensive problems in empty homes. Turning off the main water supply before leaving the property can prevent a small plumbing issue from becoming a major out of pocket loss.

5. Maintain the heating and air system

Even when the property is vacant, keep the HVAC system running at a moderate temperature. This helps control humidity, reduces the chance of mold growth, and keeps the home in better condition for future buyers or tenants.

6. Have someone local check the property periodically

A neighbor, property manager, or trusted contractor can walk around the home from time to time, especially after storms. This helps you address small issues early, before they become major claims.

What DP1 Vacant Home Insurance Typically Excludes

A DP1 policy is a simple, affordable option for vacant properties, but understanding its limitations is essential for any Florida investor. A DP1 dwelling fire policy offered by Florida carriers is designed to provide named-peril protection for homes that are vacant, under renovation, or between tenants.

Perils DP1 policies usually cover:

• Fire
• Wind
• Lightning
• Smoke
• Explosion
• Riot or civil commotion
• Damage by aircraft or vehicles
• Vandalism and malicious mischief when available by carrier and when allowed by endorsement

Key exclusions for DP1 policies:

• Accidental water damage from plumbing or appliances
• Leaks that occur over time
• Mold
• Theft of personal property
• Wear and tear and maintenance issues
• Damage that worsens gradually over time
• Liability unless added by endorsement

Many investors are surprised to learn that water damage is not covered on Florida DP1 policies. Because no one is living in the home to monitor plumbing or appliances, carriers consider water losses too unpredictable for a vacant risk and remove that coverage from the form.

Why the DP1 Form Matters for Florida Investors

A vacant home is more than an empty building. It represents cash flow, resale value, or long term appreciation. A fire, storm loss, or vandalism claim without proper coverage can disrupt your investment plans and lead to major out of pocket expenses.

A DP1 policy keeps your investment insurable and financially protected while you renovate, list, transition tenants, or wait for closing.

Examples of losses where DP1 coverage can help:

• A fire from faulty wiring or contractor activity inside the home
• Wind damage to the roof during a tropical system
• Smoke damage from a covered fire event
• Broken windows or damaged walls from vandalism when covered by the policy
• Damage to the exterior when a vehicle strikes the structure

These risks are common with vacant homes in Florida. A DP1 policy helps keep the financial impact manageable so you can move confidently toward the property’s next stage.

Frequently Asked Questions About Florida Vacant Property Insurance

Is Florida vacant property insurance the same as a DP1 policy?

Most vacant home policies in Florida are written on a DP1 Dwelling Fire Form. This is a named peril policy that is designed for vacant, unoccupied, or investor owned properties between tenants. It is different from a standard homeowners or landlord policy that assumes the home is occupied.

How long can a Florida investment property stay vacant before coverage stops?

Most carriers consider a property vacant after thirty to sixty days with no occupant. Once that limit is reached, a standard homeowners or landlord policy can reduce or deny coverage for many types of losses. Moving the property to a DP1 vacant home policy helps keep coverage in place during that period.

Does a DP1 policy cover water damage?

No. Accidental water damage such as leaks, burst pipes, or appliance failures is excluded on Florida DP1 policies. Because no one is living in the home to catch a leak, carriers remove this coverage entirely. Turning off the water supply before leaving the home vacant is an important way to protect your investment.

Can I add liability coverage to a vacant Florida investment property policy?

Sometimes. Some carriers allow liability to be added by endorsement to a vacant property policy, but not all do. Eligibility often depends on the age of the home, any updates, and how long the property is expected to remain vacant. Your agent can review options with each carrier.

Is vandalism covered on a DP1 policy in Florida?

It depends on the carrier. Some companies allow vandalism coverage when it is included or added by endorsement, while others exclude vandalism entirely on vacant homes. The policy must be reviewed carefully so you understand if vandalism is covered on your Florida DP1 policy.

Getting the Right Vacant Property Coverage as an Investor

Because vacant risks are higher and DP1 policies vary by carrier, working with an independent agency is essential. Investors often need guidance with:

• Availability and terms of vandalism coverage
• Whether liability can be added by endorsement
• How the company defines vacancy and occupancy
• Pricing differences when renovations are in progress
• How long can the home remain insured on a DP1 policy
• Special rules that apply during the Florida storm season

Your property location, roof age, updates, and the expected length of vacancy all influence eligibility and price. Our team works with many carriers across Florida and understands the underwriting rules that affect investment properties between tenants or under renovation.

➡️ For a deeper look at vacant home coverage, you can review our main guide: Vacant Home Insurance in Florida: A Guide for Homeowners and Investors