A vacation home was a practical expense for many families in recent decades. It allowed a family with a favorite vacation locale to visit that location anytime during the year without worrying about making travel accommodations or overspending on things such as dinner out, entertainment and sleeping arrangements.
The recent economic changes have forced many families to start renting out vacation homes, which has prompted many to ask what kind of insurance they should have on their second home. Generally speaking, every vacation home owner should consider the following:
- Liability insurance: All vacation home owners should have liability insurance coverage for their home so that they can avoid dipping into their personal savings to pay for any injuries that occur on the property. If you rent out your vacation home then you may want to increase the amount of liability insurance you carry since it will cover the injuries and damages for the renters and their guests. If a vacation home has a pool you should discuss with your insurance agent any special insurance considerations you should make.
- Contents coverage: A home insurance policy is obviously necessary to protect the structure from damages such as fire or vandalism. If you keep furniture, electronics and other property in the home year round then you should also have contents coverage built into the home insurance policy. Take a look around the property and assess the value of the contents of each room when setting your limits.
- Flood insurance: If your vacation home is near a lake or other body of water it may be in a flood zone. Home insurance coverage does not cover damages to your vacation home that were caused by a flood. Check floodsmart.gov to see if your vacation property is in a flood zone and, if it is, get the proper flood insurance coverage.
- Other risks: Your home insurance policy may not cover damages caused by certain events such as earthquake or other earth movement and hurricanes. If your vacation home is an area that is prone to one of the excluded perils in your policy talk to your insurance agent about getting a special endorsement or other insurance policy to cover that specific peril.
If you're concerned about your vacation home’s exposure to damages from perils that could be covered by a Virginia home insurance policy, give us a call at Salzberg Insurance Agency. We can compare rates, policies and insurers to create the perfect plan to protect your vacation home.