Like any home, a vacation home is susceptible to damage and theft, and the costs of repairing broken structures or replacing destroyed possessions can quickly put you in a financial bind. That’s why you need to insure your vacation home. Here, you will see what this type of insurance covers, how the coverage works, and what determines the policy’s costs.
Insuring Your Vacation Home Through Secure Insurance Group
When you want vacation home insurance coverage from a company you can trust, you should contact Secure Insurance Group. We have this, along with other types of home insurance coverage that will protect your property and possessions.
Types Of Coverage You Can Get For Your Vacation Home From Secure Insurance Group
When you get vacation home insurance from Secure Insurance Group, you can get such coverage as:
- Dwelling – covers costs for structural damage to the home
- Liability – helps cover legal costs for guests who become injured on the property
- Personal property – provides a reimbursement up to policy limits for items in the home that were damaged during the covered event
- Additional living expenses – if you’re on vacation and your vacation home is damaged, your insurer can provide funds to cover hotel costs and meal expenses while your vacation home is under repair
How Is Insuring A Vacation Home Different From Insuring A Traditional Home?
Unlike traditional homes, vacation homes are vacant during large portions of the year. This makes them more vulnerable to burglaries and acts of vandalism, and the extended time away also increases the risk of damage resulting from an unnoticed maintenance issue. For this reason, insuring a vacation home is more expensive than insuring a traditional home.
The other distinction is the potential use as rental property. Some individuals will allow others to rent their vacation homes as a way to earn money on property they’re not occupying. At first glance, this would also be a way to lower insurance costs, but in reality, it becomes even more expensive to insure. Vacation home owners who do this have to purchase rental insurance on top of vacation home insurance to cover certain damages that occur while it’s being rented.
How Does Vacation Home Insurance Coverage Work?
Vacation home insurance policies typically protect against named perils, which are specific events that could cause damage to the home. Named perils include storms, fire, and lightning. If your home is destroyed by something other than a named peril, you won’t receive coverage. Floods and earthquakes, for example, are often excluded from coverage.
When a named peril causes destruction, the policyholder is reimbursed according to the level of damage and the estimated cost of repair. This extends to possessions within the home as well, and policyholders are reimbursed up to the policy’s limits to help cover costs for replacing those destroyed items.
Damage doesn’t just apply to the home or the items within it. Vacation home insurance can help pay costs related to a guest’s injury while on the property. This includes medical bills and legal expenses if there’s a lawsuit.
What Influences The Cost Of Vacation Home Insurance?
Much like any other type of insurance policy, the costs are never the same for every policyholder. Insurers carefully assess different factors that affect the chances of someone filing a claim, and then assign a premium rate to match this risk. The greater the odds are that someone will file a claim, the more expensive it will be to insure.
Such influences include:
- Location – areas prone to natural disasters will cause rates to be higher
- Type of home – small cabins cost less to insure than larger vacation homes
- The home’s cost – more expensive homes will cost more to repair, thus driving the premiums higher
- How often the policyholder stays in the home – an unoccupied home is more susceptible to burglaries and destruction caused by lack of maintenance; therefore, it costs more to insure for those who only visit on rare occasions
Insure Your Vacation Home Today
Secure Insurance Group provides vacation home insurance to help you protect your getaway. We provide peace of mind, because when a disaster strikes, our coverage will help pay the associated costs so you won’t have to. To learn more, call us today at 877-871-7328.
