Can I insure my house that’s rented to guests?

We can insure properties that are rented out to short term guests like Airbnb, but there are some requirements.

You need to use it yourself at least occasionally, and it needs to be capable of being your home when you want it to be.

We can’t cover a house or unit that’s used strictly for short term guests, and not by yourself or family. This is because it’s considered more like a commercial operation similar to a motel, and a commercial insurance cover is more suited.

Alternatively, if you are handing your property over to a holiday home management company under a full management contract, where they effectively have control over your property, then for the purposes of insurance it is not considered your holiday home and we will not be able to provide cover. This is because with a full management contract you lose your entitlement to occupy the property whenever you wish, which means that there is no cover provided by the Natural Hazards Commission (NHC). We cannot provide cover if the NHC is not providing cover.


Examples of what we can cover

  • Secondary house you use occasionally for yourself and your family (e.g. beach house rented on Airbnb when you’re not there).
  • Second living unit at your house rented to short term guests, but used by yourself and family when it isn’t rented.

If you have a holiday home that you sometimes rent to guests, to qualify as a holiday home, the owner must;

  • demonstrate use of the property, and;
  • Have the right to occupy the property at will, and;
  • Store personal belongings at the home.

Examples of what we can’t cover

  • Holiday home you rent on Airbnb or similar guest site that you don’t use yourself.
  • Extra living unit at your main house that you rent only to short terms guests, and don’t use yourself.
  • House or Lodge with a Bed & Breakfast function for short term guests.
  • Property managed by a commercial organisation that’s set up to rent the property to guests on your behalf.

If you’re still unsure about your property, you can contact us.

 

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