Under what circumstances is property deemed not to be insured?

Property is deemed not to be insured when the insured no longer has an insurable interest. An insurable interest is a vital requirement in insurance, meaning that the policyholder must stand to suffer a financial loss if the property is damaged or lost. This interest typically exists when the insured owns the property or has a legal obligation concerning it.

If the insured sells the property, gifts it, or otherwise relinquishes control or ownership, their insurable interest ceases to exist. Without this interest, the insurance policy can no longer provide coverage because the insured wouldn’t be adversely affected by a loss to the property. This principle ensures that policies only cover risks where the policyholder has a genuine financial stake.

The other options represent scenarios that do not typically impact insurance coverage in the same way. For example, property in a fixed location or temporarily stored might still be insured, depending on the specific terms outlined in the policy. Similarly, delays in transportation do not eliminate coverage as long as an insurable interest remains and the other conditions of the policy are met.