Work or personal commitments may take you away from home several times a year. Since you still have to pay your mortgage whether you’re at home or not, wouldn’t it be nice to find a way to make your house work for you while you’re away?
More and more homeowners are turning to sites like Airbnb, HomeAway and VRBO to rent out their home for both long and short periods of time. Earning rental income from what would otherwise be an empty home certainly comes in handy. Before you take the plunge, however, consider the increased risk exposure and the possible insurance consequences of renting out your property.
Who’s Liable? Most rental sites typically do not provide liability insurance for a renter who’s injured on your property. Whether or not your homeowner’s policy provides coverage if an injury occurs depends on such factors as how often you rent out your home, the length of the rental agreement, and if you’re still living in the home and just rent it out periodically. Depending on the scenario, you may be able to add a specialized coverage endorsement, or you may need to buy a separate insurance policy to cover the added exposure. Your PDCM agent can guide you in the right direction.
What About Theft? When you rent your home to an outside party, you need to think about the possibility of theft. Coverage is commonly excluded if cash, securities and other valuables are stolen while someone is renting your property. Your PDCM agent can help determine if a separate policy or endorsement is available to add to your existing coverage.
Renting out your home may be an excellent option for you. Make sure you’re covered for all possible exposures by contacting PDCM insurance [link to the appropriate person] today!Renting Out Your Home. Is it Right for You? by PDCM Insurance