Home owners insurance company want to cancel on rehab house

[Daniel Andrews]

My insurance company came out the other day and told me they are sending me notice of cancellation. They listed repairs I needed to make within 60 days or the policy would be cancelled. All the repairs they have listed I was going to repair. My question is this normal for insurance company's to do this?

[Jon Holdman]

Yes.  If you're doing a rehab project you need "builder's risk" or "empty house" insurance.  Not homeowners or a landlord policy.  Sometimes, if the repairs are not too significant and will be completed quickly, you can get a landlord insurance policy that will be in effect during the rehab.