[C049]

change in occupancy or use

A provision contained in some property or casualty policies which requires the insured to inform the insurer of any change in occupancy or use of the premises. This allows the insurer to re-rate or add the necessary conditions or exclusions when the change adversely changes the exposures covered. Should the insured not comply and the change increases the hazard to the insurer, some states allow the insurer the option to cancel or void the policy.