Under your fire insurance policy, you may be entitled to a return of premium once you have sold your property. Under no circumstances should you cancel your policy until the house has been sold and you have received a cheque for the proceeds of the sale from your lawyer. Once the house has been sold, your insurance company may require a document known as a "Release of Interest" before they will cancel the policy. You can obtain the "Release of Interest" document from the mortgage company and forward it to the insurance company. If you are going to be moving out of your home and leaving it vacant prior to closing, you should point this out to your insurance agent as under many policies the insurance becomes void if the house is left vacant.

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