Does Homeowners Insurance Cover a Vacation Home?

May 1, 2023

Many homeowners have a second home or vacation home that they like to escape to throughout the year. But owning a second home has many concerns and expenses that go along with it. One of the major concerns is insurance. Does your primary homeowner’s insurance cover your vacation home as well? The simple answer is yes, but there are some caveats.


In this article, we’re taking a closer look at homeowners insurance and vacation homes.


Basic Coverage

Your current insurance policy can cover a vacation home, but the coverage may differ from your primary residence. For example, your coverage limits will likely be different because the values of the homes are different. Your insurance policy may also have occupancy requirements. These requirements usually stipulate that you have to occupy the property for a certain percentage of the year in order for the policy to take effect. Renting your vacation home may fill the occupancy requirements, but that comes with other considerations that we will get to later.


Additional Coverage

The location or features of your vacation home and property may require additional coverage. Vacation homes are often near the water or in locations that experience extreme weather. If your home is near the water you may have a dock, boathouse, or similar structure. It is common to need special coverage to include additional structures on your property, especially those that are more likely to suffer damage.


Renters and Liability

Many people who own a vacation home rent it out to make extra income or offset the cost of owning a second home. However, in that case, there are some additional types of insurance you may need:

  • Liability insurance: This type of insurance protects you if someone injures themselves while on your property. It also protects you if a renter’s property is damaged (for example, their car) while they are renting your home.
  • Rental property insurance: This insurance covers a property used for short-term rentals. It can cover you if a renter damages your property or if you lose rental income. These policies sometimes also include liability coverage.
  • Umbrella insurance: Some homeowners choose to get additional coverage that extends beyond typical liability insurance. It can provide extra protection in case of a lawsuit or other liability claim.


For more information on homeowners insurance policies, contact Brownell Insurance Center at 800-287-2467. Follow us on Facebook for more updates!