Utah is an incredibly popular tourist destination. To capitalize on the influx of tourists we get all year long, many Utahns rent out their home to vacationers. This can be a great way to earn some money, especially if you have multiple properties or will be away for a period of time. However, there are certain considerations, including home insurance, to keep in mind before making this decision.
Insurance Considerations for Vacation Rental Properties
Most standard homeowner’s insurance policies will not cover any damage that occurs as a result of renting out your property. You will usually need to purchase a special policy or rider to your existing policy that covers vacation rental properties. This is important to consider because if there is any damage to your property while it is being rented out, you will be responsible for paying for the repairs.
Another useful consideration is what type of coverage you need. Most policies will cover damages caused by fire, vandalism, and weather-related events. However, you may want to consider additional coverage for things like theft and liability. This is especially important if you are renting out your entire home or apartment, as opposed to just a room in your house.
Some insurers will also require you to have a certain amount of liability insurance. This is to protect you in the event that someone is injured while on your property. It’s important to check with your insurer to see what their requirements are before renting out your property.
Protecting Yourself and Your Property
Once you have decided to rent out your property, there are a few things you can do to help protect yourself and your investment.
First, be sure to screen all potential renters carefully. This includes doing a background check and getting references. You should also consider requiring a security deposit from all renters. This will help cover any damages that may occur during their stay. Finally, make sure your property is well-maintained and in good condition. This helps prevent any accidents or injuries that could occur while renters are on the premises.
By following these tips, you help protect yourself and your property when renting out your home to vacationers. With the right Utah home insurance coverage in place, you can rest assured that you are covered in the event of any damages or accidents that may occur.
If you want to be sure you have the right insurance coverage in place no matter how you use your property, call ASA Insurance so we can help.
