Do You Need Flood, Hurricane, or Liability Coverage for Your Vacation Rental
- Nate Jones, CPCU, ARM, CLCS, AU
- 5 days ago
- 2 min read
Vacation rental owners face unique risks—beyond standard property and liability insurance. Depending on your property location, size, and use, you may need flood insurance, hurricane coverage, or commercial liability insurance to protect your investment.
Understanding which coverage is essential can save you thousands in damages and lawsuits.
1. Flood Insurance
Floods are a common risk, especially for waterfront or low-lying properties. Standard homeowners or landlord insurance typically excludes flood damage, making separate coverage necessary.
Covers structural damage from rising water
May cover personal property and appliances
Required in high-risk FEMA flood zones
Learn more about FEMA flood maps and flood insurance here.
2. Hurricane Insurance
Properties in hurricane-prone areas need additional protection beyond standard wind coverage:
Covers wind damage, storm surge, and debris removal
May include contents protection
Often required for mortgages in high-risk zones
3. Commercial Liability Coverage
If you rent your property short-term, your homeowners insurance may not cover guest injuries or lawsuits. Commercial liability coverage protects you from:
Guest injuries or slip-and-fall accidents
Legal defense costs if a lawsuit occurs
Property damage claims caused by tenants or visitors
This coverage is especially important if your property has pools, hot tubs, or multiple guests.
Why Standard Insurance May Not Be Enough
Homeowners or landlord policies often exclude:
Short-term rental activity
Business-related liability
Damage caused by multiple guests or parties
Loss of rental income from covered events
Platforms like Airbnb and Vrbo provide limited host protection programs, but these are not a substitute for full insurance coverage:
How Wexford Insurance Can Help
Wexford Insurance specializes in vacation rental insurance tailored to your property and rental activity. We help owners secure policies that cover:
Property damage from natural disasters
Flood and hurricane-specific risks
Commercial liability for guest injuries
Loss of rental income and contents
