Your cottage is full of great memories, moments and special things that might not necessarily be expensive, but are valuable to you and your family. Protect your cottage from the unique risks that come with renting it out on short term or seasonal basis thanks to rental cottage insurance from ALIGNED Insurance. An ALIGNED Insurance broker can help you find a rental cottage insurance policy that meets your needs, preferences, rental arrangement and budget.
FAQ:
What is rental cottage insurance?
Rental cottage insurance protects you and your rental property. Specifically designed for cottages rented out to others (including both seasonal and year-round properties), this type of insurance can safeguard you against risks like third-party bodily injury, property damage, damage caused by tenants, theft, fires, and more.
It’s worth noting that the moment you rent out your property, it effectively becomes a business. Therefore, typical “home” or “cottage” insurance no longer becomes the right type of insurance unless underwriters have formally approved the rental usage and your policy has been endorsed accordingly. Instead, to ensure you have peace of mind speak to ALIGNED Insurance about a comprehensive commercial insurance policies specifically designed for cottages that are rented out to others.
Why is rental cottage insurance Important?
Rental cottage insurance is important as it is one of the best ways to protect your rental property from risk. Without it, you open yourself up to all kinds of financial risks, including expensive lawsuits and it can also help to secure your revenue stream, rental cottage insurance is a package product that includes many common risks that go along with renting out your cottage.
What does cottage insurance cover?
Rental cottage insurance coverage varies depending on your unique needs and the coverage options you choose. However, the following coverage types are typically available to rental property owners:
- Commercial general liability insurance: Also known as “slip-and-fall” insurance, commercial general liability insurance protects your rental property from claims of third-party property damage or bodily injury. For example, if a renter slips and falls on a slippery walkway leading to your rental property’s front door, your insurance company will cover the cost of any medical expenses, property damage, or legal fees.
- Commercial property insurance: Commercial property insurance protects against physical losses or damages to your rental property and its contents in the event of an external disaster, such as a fire, earthquake, water damage, theft, or vandalism. This type of coverage typically protects the property owner’s belongings, such as furniture, appliances, and electronics.
- Loss of rental income: Loss of rental income is another type of rental cottage insurance coverage. It can protect you from the financial impact of losing out on valuable rental income if the cottage becomes uninhabitable due to an insured peril, such as a fire or flood.
Who needs rental cottage insurance coverage?
Anyone who purchases a property, such as a cottage, with the intention of renting it out needs rental cottage insurance coverage. Failing to purchase insurance could lead to financial ruin and the potential loss of your rental property and the major investment you made in it if a lawsuit is brought against you or your cottage experiences a fire and isn’t properly covered.
ALIGN your rental property with rental cottage insurance
Protect your beloved rental property with rental cottage insurance. Contact ALIGNED for more information on rental cottage insurance. Get started by giving us a call or click here for a free quote.
