Is Homeowners Coverage Cancelled If Named Insured Dies?

• By: The Big "I" Virtual University
• January 30, 2026

An insured passed away. He was the only member of the household. He died a week and a half before the policy renewal date but had already paid the homeowners premium for the renewal. However, the carrier says there is no coverage for the property because the home’s lone occupant passed away before the renewal date.

Q: Is homeowners coverage cancelled if the only member of the household passes away before the renewal date?

Response 1: The policy says:

Clearly, the policy does not cancel at death. Coverage continues to the person with temporary custody and then to the legal representative of the deceased.

The only part that might be considered ambiguous is “covered under the policy at the time of death.” I would argue that, even though the policy was renewed before his death, it remains the same policy.

The carrier may argue that it started another policy at renewal, which I disagree with. If the carrier wanted to limit coverage, it should have said “until the end of the policy term in force at the time of death.”

Response 2: Many, but not all, insurers will continue the coverage for the trustee, executor or fiduciary in charge of the estate until the end of the policy period. The underwriters should be notified and appropriate changes made. A new application must then be submitted immediately or at renewal. The insurer might offer coverage on the same or different policy forms, or a new market may be needed based on the new fact pattern. The death of the sole resident was a change in risk that would permit an insurer to cancel or nonrenew, depending on the policy language and the state insurance code provisions governing nonrenewal, cancellation and material changes.

Although the premium had been paid prior to death, the death occurred before the renewal. Absent notice to the insurer and agreement by the insurer to continue coverage, the insurer’s position is the standard that typically applies: no coverage.

Remarket the program, in the name of the executor and estate. We have seen claims denied due to failure to notify the insurer of death, which often results in litigation with the insurer and the agency if the producer was aware and failed to secure coverage.

The personal auto policy should also be rewritten in the name of the estate, with whoever has possession of the car listed as an operator, with other operators named if more than one person is using the vehicle. 

Response 3: I agree with you that F. Death seems to confirm that coverage continues if the named insured dies, and the insured’s personal representative steps in as the decision-maker for policy-related decisions. It doesn’t specify when the insured has to die to trigger this provision, and I’ll bet your state’s insurance regulator would disagree with the “no coverage” position.  

There is, however, the question of eligibility for a homeowners policy. I suspect eligibility requires that the premises be occupied by its owner. Since he died prior to renewal, the insurance company has good grounds to argue that the requirement is no longer met. It seems like a chicken argument to me, but if that’s the carrier’s position, it should come right out and cancel the policy.  It would then have to be replaced with the appropriate property and liability policies to protect the insured’s estate. 

That’s my position, but my position—and yours, for that matter—isn’t worth anything. If your carrier says there’s no coverage, it’s your duty to abide by that decision. Failing to do so is a violation of your duty as an agent and exposes you to an errors & omissions lawsuit. Similarly, you have an obligation to your client, and you could be liable to them if you fail to act on the insurance company’s announcement that there’s no coverage.

Response 4: Two policy conditions apply here. First, F. Death is triggered because the only person fitting within the policy’s definition of “you” has passed away. Note that the condition does not say the condition applies if the insured dies during the policy period. It is not necessary for the death to occur during the policy period for this condition to be triggered.

The other relevant condition is:

The carrier must send the named insured a written notice 20 days before the expiration date if it wishes to nonrenew the policy. It sounds like it did not do that; rather, it issued a renewal policy for which the premium was paid. Therefore, in my interpretation, coverage is in effect right now, but the policy is insuring either the named insured’s legal representative or the person having proper temporary custody of the property.

Separately, there could be a major coverage complication, because “residence premises” is defined as “The one- or two-family dwelling where (the named insured resides) in at least one of the family units …”

The carrier insures the dwelling on the residence premises. It is possible that the carrier could argue that there is no residence premises because the named insured no longer resides there, thus jeopardizing most of the homeowners coverage. Therefore, as a practical matter, it would be wise to consider replacing the homeowners policy with a dwelling policy in the name of the estate as soon as possible.

This question was originally submitted by an agent through the Big “I” Virtual University’s (VU) Ask an Expert service, with responses curated from multiple VU faculty members. Answers to other coverage questions are available on the VU website. If you need help accessing the website, request login information.

This article is intended for general informational purposes only, and any opinions expressed are solely those of the author(s). The article is provided “as is” with no warranties or representations of any kind, and any liability is disclaimed that is in any way connected to reliance on or use of the information contained therein. The article is not intended to constitute and should not be considered legal or other professional advice, nor shall it serve as a substitute for obtaining such advice. If specific expert advice is required or desired, the services of an appropriate, competent professional, such as an attorney or accountant, should be sought.