Insuring Your Vacation character

Insuring Your Vacation character

already though you don’t live there year-round, it is a smart idea to have good coverage on your vacation character.

For the most part, insurance coverage for a holiday home works the same as the coverage on your dominant residence. There are, however, a few meaningful differences in the kind of coverage you can select for a second home based on how often and for what purpose you use the character.

Some things you will want to consider when deciding which coverage is right for you include:

1. Do you only use the character during the summer months?
2. Do you make regular weekend visits?
3. Do you rent to other occupants throughout the year?

Keep in Mind:
1. In contrast to the comprehensive policy on most dominant residences, insurance coverage for a holiday home typically includes Named Perils coverage instead of All Risk coverage. This limited coverage only insures against the risks stated in the policy, such as fire or windstorm.
2. Many insurers will require that you insure your dominant residence with them before they will insure a holiday home.
3. Because you only occupy your holiday home part of the time, you will likely pay more for coverage against risks like water damage, burglary or vandalism.
4. Typical Exclusions from Vacation character Insurance

The following items are usually not covered in an insurance policy for your home away from home:
1. Sewer back-up
2. Perishable foods stored in the freezer
3. Fence and yard equipment
4. Landscaping items such as trees and plants
5. Choosing the Right Coverage

Four types of coverage you should consider for your holiday home include:
Personal Liability Coverage

Protecting yourself against accidents that might happen to people on your character is the dominant function of personal or third-person liability coverage. This coverage also protects you if a fire happens at your vacation character and spreads causing damage to surrounding character.

Contents Coverage
This coverage protects any items you keep at your vacation character. Any items that you transport back and forth from your dominant residence to your vacation character would be covered under your dominant home insurance policy. This kind of coverage may automatically be included with your secondary home insurance package, but if your belongings go beyond the value of that coverage, you can buy this additional coverage. The perils insured for your vacation character will generally be less inclusive than on your home.

Detached Private Structure
Detached structures on your holiday home like garages, sheds or boat houses may have limited or no coverage under your vacation character insurance package. This additional coverage will help ensure you have adequate coverage for these structures.

substitute Value
This coverage allows you to replace covered items at current market prices without deduction for depreciation.

If you have any questions about insuring your vacation character, please feel free to give us a call.

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