If a farm building or structure is vacant or unoccupied, what happens to coverage beyond 120 days?

When a farm building or structure is vacant or unoccupied for more than 120 days, the insurance policy stipulates a reduction in coverage, which is typically set at a 50% decrease. This provision is included in standard property insurance policies to address the increased risk associated with vacant properties, as they are more susceptible to issues such as vandalism, theft, and deterioration.

The reduction in coverage serves as a way for insurance providers to manage their risk when properties are not actively occupied or maintained. Therefore, after the specified duration of vacancy, the policyholder should be aware that any potential claims related to the property may be significantly limited, affecting their financial protection for the duration of the vacancy.

It's important to review the specific terms of a policy, as these conditions can vary, but in general, the practice reflects the principles of risk management employed in property insurance.