You have a home which you actually don't live in. So, you decided to rent it out. A great way to use your investment. But, how will you manage the risks, such as damage to property or guest injury?

You should choose vacation rental insurance for owners. With the right type of vacation rental insurance, you get coverage to protect your rental home property.

Let's find out the benefits and types of vacation rental insurance, along with tips to choose one.

Why Vacation Rental Insurance?

When you run a vacation rental home, you have to be prepared to manage unexpected events. Here's how vacation rental insurance for owners helps:

Manage Property Damage

• Damage caused by guests, such as stained carpet or broken furniture.
• Loss due to natural disasters, such as floods or storms.

Protection From Liability

• If a guest slips or falls and suffers an injury, vacation rental insurance provides coverage for legal fees and medical costs.
• An accident causing damage to nearby properties, such as a fire spreading to a neighbor's house.

Types Of Vacation Rental Insurance

The home rental insurance coverage varies depending on your specific needs. Here are the common types of vacation rental insurance to explore:

Contents Coverage

This type of insurance coverage compensates for lost or damaged belongings on your property. Sometimes, it does not include items like an ATV or a boat. Confirm with your insurer to get comprehensive coverage.

Liability Coverage

Covers medical bills and legal expenses if your renters or others are injured at your property.

Lost Income Coverage

If the damage is such that you can't rent your property before repair, this type of insurance coverage reimburses you.

Structural Coverage

Offers financial support if your rental home is damaged or destroyed.

Pay As Per Use Home Share Insurance

You maintain your regular homeowner's policy and pay a fee per night when you are hosting guests. This is a good option when you do not rent out your property frequently.

Vacation Rental Insurance

Covers your home when your guests or you stay in it. It replaces your existing landlord or homeowner insurance.

Vacation Rental Provider-Provided Cover

You get free or fee-based rental home coverage if you rent out properties through services like Airbnb. But these provide secondary coverage, and you'll need to make a claim with your primary policy before the one by the service provider.

Homeowners Insurance With Rental Riders

You can opt for a rental rider as an addition to your homeowners' insurance to cover your property.

Homeowners And Landlord Insurance

Cover the premises with both homeowner and landlord home insurance. Homeowners insurance offers coverage when you stay at the property, and landlord insurance covers guest stays.

Commercial Insurance

When you rent multiple properties or operate a rental business, commercial insurance provides comprehensive coverage.

Choosing The Right Insurance Provider

Selecting the right insurance provider helps you get a comprehensive policy based on your property coverage requirements. Here's what to consider when choosing one:

Look For Specialists

Specialists understand the unique risks for renting out a vacation home, so they help you customize the policy as per your needs.

Check reviews or ask for suggestions from online communities. Choose the one with a responsive service.

Compare Policy Features

Compare how much coverage different policies offer for damage and liability. Check the specific activities or types of damage not covered to avoid claim rejections later.

Get a Tailored Quote

Your vacation rental insurance costs depend on:

• Deductible
• Location
• Amenities
• Coverage
• Replacement cost of your home

So, request a quote based on the unique requirements of your home to get comprehensive coverage at optimal costs.

Filing A Claim

When you make a claim, here's what you should do to ensure a smooth process:

Document the Damage

• Take photos or videos to serve as proof.
• Keep records of communication with the guests and the insurer.
• Collect the receipts for the repair or replacements.

Report Claims Quickly

• Be quick to avoid claim rejection, as many insurers require you to file a claim within a specific period.
• Maintain a full account of the time, date, and description of the damage or liability. 

Protect Your Property With Vacation Home Rental Insurance

Vacation rental insurance for owners helps you cover your property from damage and liability claims. It ensures that if guests cause damage, a natural calamity leads to damage, or the guest gets injured at your property, you are always covered from financial liabilities.

Consider the reviews, quote price, and policy features when choosing a policy. When making a claim, maintain complete documentation and act quickly.