Short term rentals, also known as short term vacation rentals, are in trend these days. Putting your house up for temporary rentals not only provides you with a source of income but also a feasible option for people who do not want to go to hotels. While the choice is pretty good, you should be very careful about safety and security. This means that when agreeing to the terms and conditions and getting your bookings done, make sure that these houses are insured with a good policy quote. This way, you will get the coverage in case there is any damage or injury. If you are still not sure, here is all you need to know about home insurance for short term rentals;
If you plan to give the whole or some part of the house for rent, you should ensure that it is insured. The insurance companies might often be fully covering the house, but it is essential to get the details confirmed. There can be a term or condition about allowing rents on certain occasions; however, it is better to inform your home insurance provider beforehand so that there is no lack of communication and you have it all safe. Some companies might provide you with an additional policy only if you inform them about it. So make sure you all are on the same page.
Short term rental insurance offers coverage in two main areas; protection for the belongings and liability. If your guests steal any of your belongings or cause any damage to them, you can quickly get coverage for that. For the liability part, if your guests get injured at your home because of any fault in the house, you will have to bear the medical expenses. If you have the policy, then you will be covered in this regard.
When getting the confirmation for coverage, check the type and extent of coverage you are being provided with. If you feel that the coverage is not enough, you can get additional property damage or liability insurance for the rented area.
All the information mentioned above is needed if you plan to give the place on rent occasionally. If you plan to permanently put your house on rent or make it a business type thing, keep in mind that this won’t be covered under your typical home insurance policy. This is a commercial thing, so the insurance policy and quotes may vary for it.
If you plan to use your space for rent permanently, you will have to get a different type or additional house policy. Some varieties in this regard can be landlord, renters, or vacation rental insurance.
An excellent tip in this regard is to have a good and well-maintained home inventory. When you give your place on rent, you are letting random people enter your space and use your belongings. There are high chances of theft and damage. To make sure that in case of any damage or other issue, you are covered. Having a good inventory with a list of all your belongings in the house and their value will be beneficial.
Giving your home on short term rentals is an excellent way to earn some dollars. However, when you plan to do so, keep in mind that you will have random people in your home. So make sure that you are checking the process carefully. In terms of ensuring your family and the home’s safety, ensure that you have an acceptable home insurance policy with all the additions to it so that you are all covered. So what are you thinking about? Go and explore this option and make some money!