I know from current experience, unfortunately. The temptation was so great that I nearly allowed my policy to lapse which would have caused me huge headaches in reinstating it if I changed my mind. I asked my insurance carrier what could happen if I didn't renew my annual insurance binder "because I was in escrow to sell my home and escrow was due to close very soon" (not the truth but I was afraid of the truth). My insurance carrier told me that it would cost me an entire year's premium in advance to get it started again if I went without homeowner's insurance under their coverage for more than 60 days.
I don't know if I really believe that since I've been such a good client for many, many years but I didn't want to go through that scenario as well as take the chance that my home and all that I have left could be taken by theft or fire. It was the contents of my home and potentially liability if someone where to get hurt on my property that convinced me to pay my relatively small monthly payment to continue coverage.
I would suggest it to you too. Good luck!
Diane Wheatley, Broker
Jeff and Cheryl Fox
800-917-8080 Toll Free
16133 Ventura Blvd. 7th Floor
Encino, CA 91436
Besides protecting the property from damage,,,fire,,,earthquack,,,flood...it also protects your possesions and liability if someone hurts themselfs at your home. I am strictly guessing but I would keep mine. Check with your insurance agent. Good luck...