Vacation homes present special risks, so consider premium costs before you buy
Like any residence, your vacation home needs to be insured—but because the risks are different, the coverage might cost more than your primary homeowners policy. Before you leap into second-home ownership, consider the factors that will likely affect the price you’ll need to pay for insuring it.
Second homes provide a respite from weekday life, and may even be a good investment. They also, however, present more of an insurance risk than your primary residence—the fact that you don’t not physically occupy your second home as frequently puts it in more danger for theft, vandalism and easily undetected damage, like burst water pipes.
Key factors that impact vacation home insurance costsWhile the homeowners policy for your second home will provide the same types of coverage as your primary homeowners policy, the following factors will likely impact your insurance costs:
Because renting your second home entails additional, more complex risks, it’s a good idea to consult with your insurance professional and learn more about coverage for renting out your home to others.