Owning a holiday home can give you a sanctuary to escape to when you get the chance, as well as a valuable second income if you let it out when you're away.
However, commercial guests also bring an extra level of risk to your holiday home. By choosing a bespoke holiday letting insurance policy you can find cover that offers complete protection whether it's you staying there, your family and friends, or paying guests.
Many UK companies offering insurance for holiday lets - either in the UK or abroad - will allow you to tailor their policies to reflect your home's needs.
What does holiday rental insurance cover?
Typically, holiday let insurance will include some level of cover for your building(s), its contents and public liability. Compare insurance policies based on the cover they offer and filter out policies that don't meet your needs before you go in search of the best price.
Building insurance should cover the cost of repairing or completely rebuilding your holiday home if it's damaged by an 'insured event' - typically fire, flooding and accidental damage - whether you or paying guests are staying there.
However, many of the risks to your holiday home will depend on its location. For example, you might need to add storm damage to your holiday let insurance if your property is in a particularly exposed area of the British Isles; but equally you're unlikely to need earthquake protection.
If you have any outbuildings or swimming pools, make sure they're fully covered and that any individual claim limits are high enough to replace that item.
You should also check if your building insurance will cover alternative accommodation for your guests if your property becomes uninhabitable and if it will cover loss of rent for you if this means you're unable to let it out.
Contents cover protects your possessions stored in your holiday home, including furnishings and appliances, for fire, theft, accidental damage and loss. Filter out policies whose maximum cover won't be enough to repair or replace the total value of your items.
Be aware that you may need to specify external items separately (such as garden furniture) plus any items worth over £1,000, to ensure you'll be fully protected.
Finally, with holiday lets you should also check if there are any conditions attached to your cover while you are your guests are resident at the property, or if it's left unoccupied for a length of time. Some policies won't include cover for theft by guests, or accidental damage if you're not at the property when it occurs.
Other companies will require you or an employee to visit the holiday home on a regular basis (e.g.) once every month, to help pick up problems early and prevent damage from burst pipes; or they may demand that you install certain security features to guard against theft.
Public liability insurance
Public liability insurance for holiday lets pays out for claims made against you by members of the public - in this case, likely to be your paying guests.
It will need to cover you for illness or injury claims, as well as loss or damage to your guests' personal possessions. Cover levels are typically high as your insurance may need to meet any healthcare or legal costs that arise.
How to choose the best holiday let insurance cover
If you use a holiday let insurance comparison to find policies whose cover levels meet your requirements, you can get tailored quotes from each and compare holiday let home insurance quotes to find the best priced policy without sacrificing cover.