Vacation Rentals and Your Insurance

Summer sun graphicAn increasingly popular vacation idea is to rent a house or an apartment to stay in when you’re away from home instead of a hotel room.

The advantages of rentals are that they can provide more space (which can be important when traveling with a family), they can offer amenities such as kitchens so that you don’t have to go out for every meal and some vacation rentals can deliver more value for the price than traditional hotels and resorts.

However, if you’re planning on renting a beach house for the family reunion or a cabin in the mountains to get away for a weekend, there are a few things to consider, according to our friends at Trusted Choice.

Protecting Your Property and the Landlord’s

While your homeowners or renters insurance policies will generally cover your possessions anywhere in the world, renting a vacation home can expose your property to more risk than staying in a hotel might, since you may be bringing additional belongings such as bedding, cookware, etc. that you wouldn’t normally bring with you “on the road.”

Your policy also provides for coverage for property that is “used” by an insured, so that if a television belonging to the landlord is damaged, you would have some coverage; there is $1,000 coverage in homeowner’s policies for an insured damaging someone else’s property.

A standard insurance policy provides for coverage for property damage you may be found liable for, so that if you are grilling outside or cooking in the rented house and you accidentally start a fire that damages the property, you should have coverage. If you are renting a vacation property, check with our Trusted Choice independent insurance agents about the coverage you have in your homeowners or renters policy when making your plans.

Other than the $1,000 mentioned above, the homeowner’s liability coverage only extends to damage resulting from fire, smoke or explosion:

“Property damage” to property rented to, occupied or used by or in the care of an “insured”. This exclusion does not apply to “property damage” caused by fire, smoke or explosion;

For example, my wife and I rented a chalet in the mountains for our anniversary. She took a shower in the loft bathroom and the tub curtain wasn’t pulled completely shut. Water leaked through the ceiling into the room below. IF we were liable for this damage, our policy would only cover $1,000.

A personal umbrella policy might provide more coverage. Our agents can help you obtain an umbrella policy or review an existing one.

More about Renting Boats & Travel Insurance >>

Will Boat Insurance Keep You Afloat?

Man with boy in kayakIf you enjoy fishing, sailing, yachting, or cruising around on a powerboat, make sure you have boat insurance that covers your liability risk as well as your watercraft, equipment and passengers.

Perhaps you have a lake cabin and like to tow water skiers or tubing enthusiasts.

Maybe you have the party boat and every Fourth of July you load up your vessel with guests, food and libations.

Make Sure You Have Boat Insurance to Weather the Storm

Water activities are a great way to bring people together, but it is important to remember that accidents, injuries and fatalities do happen, especially when alcohol is involved.

To get the right coverage that will protect your financial investment, work with one of our independent agent and our partners at Trusted Choice®. Our agents knows the risks and regulations in your area can help ensure that you are fully covered when you head out on the water.

What Does Boat Insurance Cover?

The exact boat coverage you need depends on multiple factors. Small boat insurance is very different from yacht insurance, for example. However, for most types of boats, the three kinds of coverage in a basic boat insurance policy include:

  • Bodily injury liability for expenses related to the injury of another person
  • Property damage liability for expenses related to harming another person’s property
  • Physical damage for damage to your own property, including your boat and trailer.

What Kinds of Boats Need to Be Insured?

You can insure just about any kind of vessel, whether you have a yacht, speed boat or personal watercraft (PWC) like a JetSki.

Every type of boat has the potential to be stolen or damaged, and can be involved in an incident that results in harm to another person or their property. Even if your boat is docked or stored in your garage, it can potentially be vandalized, damaged in a fire or storm, or stolen.

Many owners of small watercraft such as canoes, rafts and kayaks assume they will be covered under a homeowners or renters policy. This may be the case, up to a specified limit in your home policy. However, when it’s time to make a claim, you don’t want to be surprised to find out that this limit is not adequate to cover the value of your investment.

Be sure to consider the amount of coverage you would need to repair or replace each of your boats and recreational vehicles if damaged or stolen and ask your agent to help you get the right coverage for those items.

More Info about Boat Insurance >>