For business incepted before 20 March 2020, we previously extended the period before a premises was classed as unoccupied to 90 days. This was where your customer’s premises were temporarily forced to close due to the Covid-19 outbreak.
As lockdown and travel restrictions ease and businesses begin to reopen, it will be easier for your customer to comply with our unoccupancy conditions. As such, we’re amending our approach as follows:
Premises still in Government enforced lockdown
If your customer is still unable to open for business due to the Government enforced lockdown, the unoccupancy condition on their policy will apply but there’ll be no restriction in cover and we will not charge an additional premium for the unoccupied period. You do not need to notify us that your customer’s premises are unoccupied.
Premises where lockdown has been lifted
If your customer is able to open for business under Government guidelines, please inform us if their premises are to remain unoccupied. The unoccupancy condition on their policy will apply for these premises including any cover restrictions; however we will not charge an additional premium for the unoccupied period.
Policyholders who are shielding
If your customer is unable to meet the unoccupancy condition on their policy because they’re shielding and no one else from the business is able to attend the premises, they do not need to comply with the condition. You do not need to notify us of any non-compliance with the unoccupancy condition. We will not restrict cover and we will not charge an additional premium for the unoccupied period.
Government or local travel guidance
Where Government or local travel guidance means that travelling to unoccupied premises would breach regulations, we understand that complying with the unoccupancy conditions will not be possible.
From 30 June 2020, we expect your customers to take all necessary steps to protect their premises, including complying with their policy’s unoccupancy condition. Where this isn’t possible for any reason (except for shielding and government or local travel guidance), please inform your usual Allianz contact as soon as possible.
Where it isn’t feasible for your customer to comply, we will show flexibility, including:
- we’ll consider ‘immediately’ to mean ‘where practicable’ where the condition stipulates ensuring that any defects in the condition or state of repair of the building or any defects in security, alarm or fire protection installations are rectified, remedied or repaired immediately
- we’ll take a pragmatic approach and agree mutually acceptable timescales for risk improvements, as detailed in COVID-19: Risk Improvements.
For details of our Unoccupancy Conditions per product, please refer to our product pages.
For contract sites, the Contract Works section of our Allianz Construction Select policy provides already cover for a period of 90 days whilst there is cessation of works and this will not be extended.
We’re continuing to review and monitor the situation and will provide a further update before 31 July.