Insuring your home with an attached flat

Navigating the intricacies of insuring a home with an attached flat in New Zealand, especially one that is rented out part-time, can be overwhelming for landlords and property investors. At Initio, we are dedicated to helping you make sense of these complexities, equipping you with the tools needed to make the right insurance choices for your unique situation. This article is specifically designed to assist you in understanding the process for homes with attached flats rented out occasionally.

Guidelines on Insuring Your Home and Attached Flat in NZ

If you happen to own a home with an attached flat rented out occasionally, you may find yourself unsure about how to secure the right insurance coverage. This situation differs from one where both units are exclusively used as long-term rentals (which are catered for by our multi-unit policy). Insuring a property where you live and have an attached flat rented out part-time necessitates a more nuanced approach.

Here’s what you need to know:

  • Own Home policy: This policy has been crafted to cover the portion of the property that you inhabit.
  • Landlord/Rental policy: This policy needs to be put in place to provide coverage for the attached flat when it’s rented out. Even if the rental isn’t full-time, coverage for the times when the flat is tenanted is ensured by the landlord/rental policy.

Should a significant claim arise, both policies would be engaged, with the combined sum insured being applicable to the whole property.

Why Opt for Two Policies?

With two policies in place, you have the benefit of comprehensive coverage that fits your property’s unique usage. The Own Home policy provides coverage for the main house where you live, while the Landlord/Rental policy covers your legal liabilities and other specific risks associated with renting out the attached flat. This approach gives you peace of mind, knowing you’re adequately insured no matter how you choose to utilize your property.


The process of insuring a home with an attached flat, rented out on occasion, needn’t be a difficult one. With an understanding of how Initio’s insurance products can be strategically combined, comprehensive protection of your property is ensured. Additional information on this topic, as well as other insurance solutions offered by Initio, can be found here.

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