What’s holiday home insurance?
Holiday Home Insurance is a type of insurance that allows you to insure a property that you rent out on a short-term basis or that you use as a second home. This is obviously different from Landlord Insurance because the holiday home will most likely not be rented out all of the time and will be vacant for a significant portion of the time.
Holiday house insurance is just home insurance for your second home, regardless of whether you rent it out.
You can insure your vacation home for the structure, the contents, or both in one policy.
Buildings insurance covers the structure of your vacation home and pays to repair it if it is damaged by fire, storms, flooding, vandalism, or other calamities.
Contents insurance protects the items in your holiday home that aren’t related to the structure, such as furniture, televisions, rugs, and any personal belongings you store there.
What is covered by vacation home insurance?
If it’s just you and your family, a lot of what’s covered by vacation house insurance will be comparable to what you’d find in a regular home insurance policy. If you rent out your vacation home, your policy will be comparable to that of a landlord.
However, because your vacation home will not be used full-time, holiday house insurance permits you to leave it empty for extended periods of time.
However, there are some parallels between the two policies, as Holiday Home Insurance typically covers things like:
- Aircraft and other flying devices
- Fire, lightning, explosion, or earthquake
- Storms, floods, and snowfall
- Oil escaping from fixed domestic oil-fired heating installations
- Water escaping from fixed water tanks, apparatus, or pipes
- Accidental damage to oil pipes, underground supply pipes, sewers, drains, and cables
- Theft or attempted theft
- Vehicle or animal collisions
- Riots, strikes, violent disorder, civil commotion, and malicious damage
- Falling trees, lampposts, or telegraph poles
- Subsidence or heave of the site or landslip
Because this policy is primarily meant for times when the property is rented out, you will only receive full coverage (as described above) when the property is considered occupied, which according to the insurer’s standards is when the property has been inhabited within the previous thirty days.
Cover is often restricted and terms are added if the property has been idle for 30 days. Here is an example of a general term that will be applied to unoccupied holiday home insurance:
While the house is not regularly lived in or occupied by a holiday tenant, it is available for rent.
This insurance’s buildings and contents section does not cover;
- Water loss or damage from fixed water tanks, apparatus, or pipes due to frost damage UNLESS the water is turned off at the mains and all tanks and pipes are drained, OR the central heating system is in continuous operation to maintain a minimum temperature of 60° Fahrenheit/15° Celsius between October 1 and April 1 inclusive.
- The usual excess of £50 is substituted with the first £250 of every claim, with the exception of fire, subsidence, heave, and landslip, which are as stated in the certificate.
- The maximum amount of water and oil that can escape is increased to £1,000
- Jewellery, furs, gold, silver, and gold-plated goods
- You must schedule both internal and external inspections of the property at least once every 30 days, and keep a record of these visits.
However, this is still more coverage than you’d normally be able to acquire on an unoccupied property, and all you’d have to do is notify the insurers when a renter moved in, and you’d be back to full coverage. You don’t have to insure the property as a vacation house that will be rented out; you can insure it as a second home that will be rented out or used by you.
So, if you have a second property that you either rent out as a vacation home or that you use as a second home, you can get a quote to protect the property from any conditions that you may use it for by completing only a few questions.
For further information, go to this website, which is dedicated to all things related to Holiday Home Insurance and compare the companies.