The insured has now reported a theft claim of personal property from his new risk which he has owned for 4 years. He has had the personal property from the old insured risk for 2 years.

Since the risk we insure was sold 2 years ago and the insured never notified us, we feel he had no interest and thus no coverage for the theft of personal property.  The other question that comes into play is that the policy does provide coverage up to 10% for personal property off premise, usually situated at an insured location.  As you can see above, the property had not been at an insured location for 2 years.  

Arizona Subscriber

The policy clearly defines insured location to include:

b.         the part of any other premises, other structures, and grounds used by you as a residence and:

(1)        which is shown in the Declarations; or

(2)        which is acquired by you during the policy period for your use as a residence;

The new property is not shown in the declarations, and was acquired during a previous, not the current, policy period. The insured is not temporarily residing in the new dwelling, it's his permanent home. Likewise the definition of residence premises requires the property to be shown in the declarations. This property is not.

While coverage C provides 10% or $1,000 for property at the insured's residence other than the residence premises, coverage C is not a stand-alone contract, it is tied to coverage A and the rest of the policy. Since the insured is no longer at the original premises and hasn't been for two years, we say there is no coverage. A premium refund may be in order however the insured did not fulfill the terms of the contract.