What are the options available to property owners who list their homes for short-term rental on HomeAway? Most property owners who rent their vacation homes on HomeAway carry either a standard homeowners or landlord insurance policy, both of which exclude business activity. It’s widely accepted in the insurance industry that renting a vacation home on HomeAway for less than 30 days at a time is considered a business transaction. When the HomeAway guest compensates the owner in the form of money in exchange for the use of the home, this is typically considered to be a business transaction. As soon as you hand your home’s keys to a guest and take money in exchange – you are running a business. If a rental property is considered to be a business, then it only makes sense to purchase insurance that covers the needs of that business. For instance, what if a guest accidentally set fire to the vacation home, or worse, was seriously injured at the property during their short-term stay? Insurance for a HomeAway rental has never been more important.
A Comprehensive Insurance Policy for HomeAway owners is the Right Solution
Comprehensive insurance typically offers coverage for both property and liability. Property damage coverage protects the actual property from fire, wind, vandalism, water damage, theft, and much more. Liability insurance coverage is for bodily injury or property damage that the owner of the property could be found liable for. An owner who rents their property on HomeAway needs both types of insurance, or a comprehensive insurance plan, and it needs to NOT exclude business activities. The only foolproof solution is to purchase a commercial insurance policy for your HomeAway rental, one that will cover both property and liability insurance claims.
HomeAway Coverage Isn’t Just a Smart Idea…It’s the Law
If you’re located in one of many states that require business insurance for property rentals, then liability and property coverage for HomeAway rental isn’t optional. And remember: your homeowner’s insurance does not cover property rentals. That means if you’re renting out your home without coverage, you’re exposing yourself to some serious risk. Besides being a potential legal requirement in your statement, having adequate insurance is a smart move. It keeps your finances safe, protects your home, and protects your business. Why not get started with your own coverage plan today?
Remember that once you chose to rent your property to others, your actions are considered a commercial venture. This means that anything that may happen to your property or guests will ultimately fall on you as the business proprietor. Rather than leaving things to chance or fate, protect yourself with the finest insurance in the industry with Proper Insurance underwritten by Lloyd’s of London. With up to 3 million dollars of aggregate liability coverage, you can rest easy knowing that you are covered for whatever comes your way.
Are You Paying Too Much for HomeAway Insurance?
If you’re renting out your property on HomeAway, maybe you’ve signed up for an additional coverage plan to protect your property. Unfortunately, many of these plans only cover property damage and not liability. Liability is a serious concern for property owners who rent out their home on HomeAway and other similar sites. For example, if a guest is injured on your rental property, you could be legally responsible for their medical bills and other related expenses. Without adequate liability coverage, you’ll need to pay for your own legal defense –and potentially, theirs as well!
Another problem with separate, additiveplans is that they can become costly over time. Proper Insurance offers one, all-inclusive plan that replaces your homeowner’s coverage and other property insurance plans you may have. As a result, you only pay for one plan. This simplifies your life and helps keep your costs low, while reducing the headache of managing multiple insurance policies.
Proper Insurance Recognized as Homeaway’s Preferred Comprehensive Insurance Vendor
While HomeAway’s liability insurance applies to liability claims only, Proper’s policy is commercial homeowners insurance – providing coverage for all stays within your vacation rental property, regardless of the source of booking or how the reservation was processed. Unlike HomeAway’s policy, it covers damage from renters, natural disasters, loss of income AND liability.