Home Insurance for Short Term Rentals

Home Insurance for Short Term Rentals

Santa Rosa Beach, FL · Member since 2018 · 81 posts · 67 votes

Hello everyone!  WE have purchased our first short term rental that we are using as a vacation rental and are currently living in it while we renovate it and get it ready.  We will be renting it out starting this July and I am doing some research on what type of home insurance is the best.  

Most of the articles I find come from expensive insurance companies blogs so I don't feel like I am getting an unbiased answer in my research.  So I wanted to ask on here and see what you all think.

Thanks in advance!

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Hatfield, PA · Member since 2012 · 1k+ posts · 629 votes
7y

I do not recommend Comet. Too unknown and not convinced it is complete. 

Cbiz and proper are the big ones

American Modern does it

Foremost does it

Nationwide, safeco and other similars MAY do it as a rider but also may limit you. Get clear on that. 

Airbnb insurance is useless and unreliable

Homeowners policy by itself useless

Some people claim landlords policy, but not yet convinced

Your best bet is to call MULTIPLE independent brokers and discuss your situation in detail. Some of them are a little clueless. 

When it seems a better deal, make sure you know the diff between actual cask value and the others

You have 3 parts. Loss of rent, damage by guests and property as a whole. 

If you are got it using government loan, it is very illegal to do short term rentals. USDA, Fannie Mae, Freddie Mac, etc. 

Learn all you can about doing this. 

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  • Rental Property Investor · Stewartsville, NJ · Member since 2016 · 419 posts · 280 votes
    7y

    We have a short-term rental and are using Proper as our insurer.  They were higher than what we were paying previously, but have not had any issues with them and they seem to provide good coverage.

    SG

  • Member since 2020 · 12 posts · 6 votes
    6y

    Anyone have updated recommendations or experiences? I've put in for quotes with Proper and CBIZ, both of which are coming back at about triple the cost of a traditional homeowner's policy. Comet's quotes are more in-line with what I was expecting, but it sounds like they get a bad rap here.

  • Robert TinkerPro Member
    Rental Property Investor · Round Rock, TX · Member since 2019 · 251 posts · 159 votes
    6y

    We use Foremost

  • Realtor · Destin, FL · Member since 2018 · 38 posts · 22 votes
    5y

    Anyone else experiencing triple the rate of a standard homeowner policy? does anyone know if Proper covers dwellings for Hurricane / Storm damage here in Florida?

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