There are many new online home rental sites that help you rent out your home or apartment while you are on vacation or if you just need extra income. While this may seem like a good idea, you may want to read your homeowner’s or renter’s polices before moving forward.
Some of the home rental websites may have some level of liability coverage that protects the owner and renter; while other sites only offer secondary insurance above your personal renter’s or homeowner’s insurance. This is the wording on one site…”The Host Guarantee is not insurance and should not be considered as a replacement or stand-in for homeowner’s or renter’s insurance.”
Key Items To Consider
1.If you are renting out your primary home or apartment, your personal insurance will most likely not provide coverage. It is important to read your policy and check with our office for your coverage specifics.
2.If there is damage or loss to your personal property, you may have to file a claim through the rental website. This process may take months.
3.If you own a rental property and it is listed as a rental under your insurance, you should be ok with renting it out.
4.Check all references and reviews before you make any decisions about renting out your property.
5.There is a difference between a security deposit and damage insurance. Typically a security deposit is a way to offer an incentive to the renter to encourage them to not damage the property.
6.If you are renting out a rental property, you might want to consider an umbrella policy.