Named Insured does not Occupy Residence Premises—One

Our agent placed a homeowners policy with our company. The named insured has never occupied the residence, and the tenant pays her a monthly rent. We now have a substantial fire loss. Do we owe our insured the monthly rent she has lost?

Idaho Subscriber

The ISO homeowners policy HO 00 03 10 00 states that coverage is available if that part of the “residence premises” rented to others or held for rental is not fit to live in. “Residence premises” is defined as the “one [or two, three, or four] family dwelling where you reside [in at least one of the units], or that part of any other building where you reside.”

The definition is not met, so, no coverage for loss of rents.

 

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