Do you have a second dwelling on your property that you rent out?

Is it beside or attached to where you live?

What kind of insurance do you need?

If you have two dwellings/units on your property and you rent one out long-term (90 days or more), there are some important things to consider when it comes to insurance.

What counts as a separate dwelling/unit?

If you’re renting out a second dwelling/unit – such as a separate or attached granny flat, a separate unit, or a converted space – it’s considered separate from your household. Even if the rental is on the same property title, the tenant is not part of your household. You might have a formal tenancy agreement in place, or a more casual flat-sharing or boarding arrangement, but the key point is that they’re living independently from you.

If this matches your situation:

• Your second dwelling/granny flat is rented out long-term (90 days +)
• The second dwelling/unit has it’s own facilities and the tenant lives independently there.
• You might have a tenancy agreement, flat-sharing or boarding arrangement in place

Then you’ll need:

Two separate insurance policies to make sure you’re properly covered:

1. House insurance (Own Home policy) – Covers the home you live in, protecting the structure itself. Also safeguard your personal belongings by adding contents insurance.
2. Landlord insurance (Rental policy) – Covers the rental home, including damage caused by tenants, additional loss of rent, and liability protection.

Why separate policies matter

Our standard home and landlord (rental) policies cover only one home or unit per policy—even if they are connected, share the same address, or are on the same property title. In addition, each home/unit has different insurance needs, and having separate policies ensures you’re covered correctly and for the right things.

Get cover today

With initio, you can get a quick quote for each and buy insurance online in minutes, making it easy to ensure both your home and rental property are fully protected.

Buy House Insurance     Buy Landlord Insurance

Need help? If you’re unsure about what policies are right for your situation, contact us to make sure you’re fully protected.

Get covered today with initio – Quick quotes, easy online cover.

Not quite what you’re looking for? Maybe some of these other scenarios suit you better:

• Renting out part of your home short-term
• Renting out a second dwelling solely for short-term stays
• Insurance for a non-rented second home on your property
• Second dwelling on your property that your family lives in
• Renting out two dwellings on your property