If you own your own home or rental property and are considering or are already renting all or part of it for short periods of time, be sure to purchase appropriate insurance. Some insurance companies allow you to add a short-term rental endorsement to your homeowner insurance policy but have restrictions or limitations to qualify for the additional coverage.
Before you list with short-term rental websites such as Airbnb or VRBO, contact your Murrick Group Insurance agent to discuss the coverage you will need. Below are the scenarios that qualify for a short-term rental endorsement.
Rent part of your home
Whether you rent out a room in your home or a self-contained unit such as a basement suite for a short term or year-round, you can usually purchase short-term rental insurance. However, keep in mind that most insurance companies restrict the number of tenants who can live in that room or self-contained unit to only one or two unrelated persons or families.
Only rent when you’re away
If you live in your home for most of the year, and rent out your entire home only when you are away, two options are available: 90 days’ or up to a maximum of 180 days’ insurance in one year.
Seasonal residence rental
If you live in your seasonal residence at least 51% of the year, you can rent out the dwelling when you’re not there — up to a maximum of 180 days in one year.
If the dwelling has more than one rental unit, both units must be rented on a short-term basis. The short-term rental endorsement does not allow you to have one long-term rental unit and another short-term rental unit in the same dwelling.
To ensure you have adequate insurance when you rent out all or part of your property on a short-term basis, talk to your Murrick Group Insurance agent.