Do You Rent Out Your Home or Condo?

Chip Gibson Personal Insurance Leave a Comment

Not so long ago if you had a property you wanted to rent out, you ran an ad in the paper or found a property management company. It was easy to find tenants and you were able to earn some income off of your property. Today, online services like Airbnb or HomeAway have made it incredibly easy for property owners to manage the leasing of their own properties (and save money on management fees). This also includes renting out your primary home for short-term use.  Peer-to-peer leasing is a booming trend, but it presents its own risks to lessees AND lessors. It’s important to talk to your insurance agent to make sure you are properly protected if you’re engaging in the business.

A typical Homeowner’s Policy does not provide coverage if the home is not occupied by the property owner or immediate family.  So how can you make sure your home is covered if you temporarily lease it out? Deland, Gibson Insurance has just the tool! Highlights of our program include:

  • A broad definition of “residence premises” that eliminates any grey areas in coverage for primary and secondary rental properties, and expressly encompasses both short- and long-term rentals regardless of whether they are secured through online peer-to-peer websites or traditional real estate brokers.
  • Protection for rental of other structures on the “residence premises,” such as a converted garage apartment — deleting the exclusion of other structures rented or held for rental in the standardhomeowners policy.
  • Increased coverage for damage to landlord’s furnishings, including appliances, carpeting, and other household furnishings, in each apartment on a “residence premises,” eliminating the $2,500 coverage cap in a standard homeowner’s policy.
  • Enhanced protection for personal property, tripling — or more — the standard Special Limits of Liability in key areas. For example, some plans provide limits of $10,000 on watercraft of varying types; $5,000 for loss by theft of jewelry, watches, precious, and semiprecious stones; $7,500 for loss by theft of silverware, goldware, platinumware , and firearms; $7,500 on property used primarily for “business” purposes; and $4,500 on trailers or semitrailers as well as $4,500 on certain electronic apparatus and accessories.
  • Coverage for theft of personal property from that part of a “residence premises” rented to others.
  • $100,000 Watercraft Liability coverage for certain watercraft rented to others, such as jet skis, small sailboats and powerboats, canoes, kayaks, and rowboats. Standard homeowners policies provide no coverage whatsoever for watercraft rented to others.
  • Express coverage for tenant-caused damage to trees, shrubs, plants or lawns on primary and secondary rental properties.

Don’t leave the protection of your property up to a cookie cutter template with lots of holes in it. Call Deland Gibson to find out more about this unique coverage and ensure that you and your property and fully protected.

Providing Peace of Mind Through Proactive Service

Deland, Gibson: a Trusted Choice, Five Star Accredited independent insurance agency. Established in Massachusetts in 1900, Deland, Gibson is a 4th generation family-run insurance agency that has thrived working as a trusted advisor for its client base. We work with individuals and businesses to lower their Total Cost of Risk. We analyze a client’s direct and indirect costs and implement risk reduction plans to address areas of business, hazard, or strategic risk.

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