Vacation Rental vs. Landlord vs. Homeowners Insurance: Which Covers You?
- Nate Jones, CPCU, ARM, CLCS, AU
- 5 days ago
- 2 min read
Owning property is a big investment, and renting it out—whether short-term or long-term—adds another layer of risk. Many property owners assume their homeowners insurance will cover everything, but that’s rarely the case. Renting changes your risk profile, and the wrong coverage could leave you exposed to costly claims.
In this guide, we’ll break down the differences between vacation rental insurance, landlord insurance, and homeowners insurance, so you can choose the right protection for your property.
Homeowners Insurance: Why It Falls Short for Rentals
Homeowners insurance is designed for personal residences, not rental businesses. Most policies exclude coverage for:
Guest injuries or liability claims
Damage caused by renters
Lost rental income if your property becomes uninhabitable
If you rent your home—even occasionally—you need additional coverage. Relying on homeowners insurance alone could leave you paying out of pocket for major losses.
Landlord Insurance: Best for Long-Term Rentals
Landlord insurance is ideal for properties leased for extended periods. It typically includes:
Property Damage – Covers fire, storms, and vandalism
Liability Coverage – Protects you if a tenant is injured
Loss of Rental Income – Reimburses income if the property becomes uninhabitable due to a covered event
However, landlord insurance is not designed for short-term vacation rentals. If you list your property on Airbnb or Vrbo, you’ll need a different solution.
Vacation Rental Insurance: Tailored for Short-Term Guests
Vacation rental insurance is specifically designed for short-term rental properties. It covers:
Guest-Caused Damage – Accidents, spills, and broken items
Liability for Short-Term Stays – If a guest is injured
Lost Booking Revenue – Protects your income if the property is damaged
Optional Endorsements – Flood, hurricane, or theft coverage for high-risk areas
Platforms like Airbnb and Vrbo offer limited host protection, but these programs often have gaps. They may not cover intentional damage, theft, or income loss. A dedicated vacation rental policy ensures full protection.
Why Choose Wexford Insurance?
At Wexford Insurance, we specialize in helping property owners nationwide find the right coverage for their rental type. Whether you need vacation rental or landlord insurance, we’ll match you with top carriers and competitive rates.
