Just like any ordinary home, your vacation home needs to be insured. However due to different risks and exposures, the coverage needed might be different than your primary homeowners policy.
Second homes provide relief from weekday life and could even be a good investment, but because you don’t not physically occupy your second home as frequently, it is in more danger of issues like theft, vandalism and undetected damage. Speak to an Delaware insurance agent about how your vacation home insurance will differ from your primary policy.
What Factors Impact Costs?
Consider the location. This will always be a factor in homeowners insurance costs. If the home is in a flood or earthquake-prone zone, then you will likely need additional coverage. The very location that makes a place desirable is normally what impacts costs. A ski house in a remote or mountainous area could be at greater risk for damage due to wildfire, or a beach house can be more exposed to wind damage or storm surge from a hurricane.
Determine the type of property the vacation home is. The age and building material will certainly impact the cost.
Is it a single-occupancy house, a condominium or a townhouse? A condo may have lower insurance costs than a stand-alone because a homeowners association maintains the property, may provide security, and insures the exterior of the property.
Is your vacation home equipped with special amenities? Although perfect for relaxation, pools and hot tubs add risk so you might pay a higher premium.
How to Save on Costs?
Speak to a Delaware insurance agent about which steps you can take to help make the costs more affordable. Some examples include:
- A location with less risk — A home further from natural disaster prone areas.
- Policy bundles — Insure your second home with the same insurer that provides coverage for your primary residence to likely save on premiums.
- Installing an alarm system — A centrally monitored alarm system that detects both fire and break-ins may allow you to save.
Property Renting Considerations
Do you plan to rent your vacation home to others? If so, your homeowners insurance costs will likely increase, and you may need to purchase additional coverage.
Renting your second home entails additional risks, so consult with your Delaware insurance professional and learn more about specialized coverage for renting out your home to others.
About IFS Insurance
At IFS Insurance, we specialize in protecting homeowners and renters throughout Delaware, New Jersey, Pennsylvania, and Maryland. Our quality solutions and commitment to excellence has allowed us to serve these states for over 50 years. For more information about our products, we invite you to contact us today at (800) 598-0420