Your vacation rental is a business, even if it doesn’t feel much like work. What if you are sued? If a renter should slip in the shower, fall down the stairs, be injured or killed in a fire? What if a renter accidently burns your property down or steals all your contents? If you think you’re covered by your homeowner’s policy, we better talk.
Short-term vacation rentals are considered businesses in the eyes of the insurance world. When you collect money to allow a guest to stay at your place for a short period of time this is a business transaction. Your vacation rental is no different than a coffee shop or grocery store, it’s a business.
Vacation Rental Insurance Typically Includes:
- Actual loss of income coverage with or without a time limit
- Liability coverage in the event of guests injury or death
- Coverage for damage to your building and contents caused by a guest
- Replacement cost coverage for your building(s) and contents including from acts of theft
Policies insured through OnMarket Insurance Associates are designed to fully replace your current coverage. This is not supplemental coverage above and beyond what you currently carry, you would cancel your current policy and put ours in place. Our coverage allows you, your friends and family, and paying guests to enjoy your property. Regardless of who is staying at the property at the time of a covered loss (fire, water damage, theft, etc.), you are covered.
I already have a Homeowner’s Policy, why do I need this one?
Vacation rental insurance is made for short-term vacation rentals. This replaces a homeowner’s/dwelling policy and provides the proper coverage for a home that is not your primary residence
Also, a homeowner’s policy will not fully compensate you for loss of rents should something happen to your property. In the event of a covered loss, our short-term vacation rental policy will continue to pay you rental income for as long as you are out of the business, up to the limit you select on the policy. The money will continue to come in so you can pay the mortgage, taxes, and still make a profit.
Wouldn’t I be Covered Under a Personal Umbrella Policy?
A personal umbrella does not cover/protect over a business. A personal umbrella will not follow business activities. A personal umbrella will follow you anywhere you go in the world; but only for personal negligence. For example, you run a stop sign and get into a car accident.
Can You Help Me if I am Starting to Work with Vacation Rental Websites?
Yes, if you’re looking to put your home on Airbnb, VRBO, Homeaway from Home or Flip Key we can discuss your options for finding the right policy to protect you.
Why is a special policy necessary for a vacation rental?
Much like your home, your getaway place needs to be protected. What makes a vacation rental policy different is the amount of usage this residence gets as compared to your primary home. Think about how often you stay at your seasonal home, and how long it might be before you check back in on the home. No one is around to prevent or report events like a robbery or lightning striking the roof. Since most homeowner policies require occupancy as a condition of insurance, the fact that you visit infrequently may preclude you from obtaining full homeowner’s coverage.