It’s always good to have some spare money in the bank. It might be through sheer hard graft or perhaps an inheritance that sees the account flourishing, but whatever the reasons it creates opportunities. The chance perhaps to buy a bigger home, or maybe head away on holiday to a place on the bucket list. Some prefer to invest.
There are many ways of doing this, whether in commodities, stocks and shares, forex, or other ways of monetary gain. Another way is to invest in land. It might be for future personal property development or to own a piece that will gather in value as demand grows. Despite having no structures on it or anything else, it is still important to take out vacant land insurance for the following 5 reasons.
- It’s something that many people get caught out with, thinking that an uneven piece of land with nothing happening on it requires nothing apart from watching over it to ensure it is not used by others looking to capitalize. However, insurance is essential because it can cause risks to the owner, so cover against them makes a lot of sense as an owner has the responsibility if anything happens on the land.
- For instance, some tearaways might use it to play on, or even use it as a quick way home to save a walk. If they have an accident on the land with leads to injury, death, or damage, they might seek legal proceedings. That can see severe financial penalties, or even worse. Such compensation is avoided when taking out the right insurance cover. Having that peace of mind may be one of the stress management techniques that creates a healthier work-life balance.
- A vacant land insurance policy is the one that works in this scenario, rather than vacant property insurance which is the right one for unoccupied buildings. This along with secure fencing provides the right cover, even if a trespasser gains access and puts in a claim. There is cover for other things that can affect the ownership as well. Occasionally neighbouring structures may intrude onto the owner’s land, which can include boundary fences. The right insurance will offer full cover against such events.
- Sometimes the land might be purchased with the intention of developing it, only to find that there are restrictions against doing so. Or that errors contained in property searches lead to losses. Why worry about such things when there is insurance available to cover it? Knowing that it is in place will allow time for a relaxing visit to a national park.
- Other things covered include rates may have changed that are unknown about such as land tax and have been overlooked by the conveyance practitioner, or the owner is unwittingly involved in fraud as a mortgage is taken against the land.
Getting the right vacant land insurance ensures the landowner is fully covered against anything that might go wrong on the land that they possess.