Many individuals chose to rent out their homes for a variety of different reasons. You may be interested in renting out your second home or vacation home to a tenant or you may just want to rent out a single room in your primary home to a student. No matter what your renting interests are, it is important that you call your insurance company before finalizing any transactions. Take these helpful tips into consideration to determine your next course of action based on your particular rental situation:
Short-Term Rentals of your Primary Residence
There are two insurance scenarios for those renting out their primary residence for a short period of time. A short period of time typically consists of a week or a few weekends. The insurance coverage you need to obtain will depend on your insurance company’s preference. Some insurance companies will offer you a short-term rental policy or an endorsement. The endorsement will act as an attachment to your existing homeowners or renters insurance policy.
When renting out your primary residence to various people for a short period of time on a frequent basis, you act as a business. This type of rental requires a separate business policy. You may need a hotel or a bed and breakfast insurance policy.
Long-term Rentals of your Secondary Residence
When renting your second home for a longer period of time (Typically 6 months to a year) you will need a landlord or rental dwelling insurance policy. Your landlord policy will be more expensive than a standard homeowners insurance policy but will offer additional coverage necessary when renting out your home.
Weeks & Associates Insurance Services is available for all of your personal and commercial insurance needs! Contact us today and we can help guide you through the process of insuring your rental property. We are always available to answer your insurance questions.