Having a second home is a great asset for you and your family. You can let loved ones reside there when they need a break, generate extra revenue from renting, or have a place of solitude for holidays and special occasions.

One of the most profitable benefits of owning a second home is having visitors rent through nightly time-share portals such as Airbnb. While this is one of the savviest ways of using your space to generate extra cash, the Insurance Information Institute claims that “second homes present more of an insurance risk than your primary residence because you are not always physically there.” Since there is a heightened risk of unexpected damage, the price that you pay for your premium can be 10-20% more than what you would expect on a primary residence. Your premium will also increase if you are situated in an area that is prone to disasters, or if you have certain amenities like a pool or hot tub.

If you are looking to use a second property as a short-term rental, commercial liability coverage becomes essential. If bodily injury occurs, the host can be held responsible and is strongly encouraged to hold their own personal form of coverage. Since numerous individuals may be coming into the home that are not familiar with the layout and characteristics, they may be a bit more accident-prone.

This can mean more damage to the property, and Proper Insurance can assist with coverage for liability issues. Many renters ask if it is a good idea to include amenities such as zipline rides, treehouses, and trampolines to attract Airbnb guests looking for recreation. While they add the element of fun, the risk is ever-present as well.

Most people who are staying in a short-term rental are looking to be there for a week or so, to unwind with their family, visit nearby loved ones, or work on an important project. As soon as the pandemic hit, it became evident that some guests were going to refuse to leave, challenging local authorities, neighbors, and wreaking havoc by bending any law they could in their favor. Proper Insurance can assist with expenses such as sheriff evictions and assistance with lost income if any party in question does refuse to leave.

When you come to visit us at Alexander Insurance, we look at a few important variables to determine what policy is ideal for you. First, we determine your total coverage amount for vandalism, theft, and damage. Then, we look at the issue of the coverage if someone is assaulted on the grounds of the rental. Invasion of privacy is another important thing to look at, as the age of drones and other stealth devices have provided an entirely new breed of surveillance possibility. We have an abundance of experience with second and vacation home coverage, and can offer you the most thorough policy that will assure you peace of mind!