Vacation Property & Cottage Insurance

Whether you call it a retirement getaway, a cabin in the woods, or a cottage by the lake, your vacation property is a special place. It’s more than just a building—it’s the keeper of cherished memories of families and friends. At Solutions Insurance, our experts understand how precious your vacation property is, and we work hard to provide you with the peace of mind of knowing it’s properly insured.

Two Key Considerations for Your Policy

When creating your vacation property insurance policy, insurers take into account two key factors: how frequently your property is occupied and whether you rent it out.

1. How Frequently is Your Property Occupied?

Seasonal vacation properties often have a higher risk of theft, burglary, and vandalism because they are left vacant for extended periods. Damage that occurs can also go unnoticed for longer and get progressively worse if not fixed quickly.

• Comprehensive Coverage provides extended protection for your year-round vacation property and includes boathouses, sheds, and bunkies, as well as your personal belongings.

• Broad Form or Basic Insurance Coverage covers only the specific risks detailed in your policy.

It is important to check your property regularly for safety and security, as leaving it unattended for an extended period of time may result in losses or damages that are not covered.

2. Do You Rent Out Your Property?

Renting out your vacation property can be a great way to earn extra income. However, it is essential to review your policy with a broker to ensure it includes coverage for renting.

• Vacation Property Rental Insurance is available depending on the length and frequency of your rentals. It’s a good idea to reduce the amount of personal items in your property when renting, as personal belongings may not be fully protected by some rental policies.

• Some insurance companies include rental income protection, which can help replace lost rent payments if your property is temporarily uninhabitable due to a covered claim.

A Solutions Insurance advisor can review your options with you to ensure you have the best policy for your situation.

Important Tip: Builder’s Risk Insurance

If you are doing extensive renovations to your vacation property, or building new structures like a boathouse or bunkie, a Builder’s Risk Insurance Policy can be very helpful. This special type of property insurance protects against damage to buildings while they are under construction.

Additional Factors That Influence the Cost of Your Policy

The cost of your vacation property insurance is influenced by several factors, including the property’s size and age, as well as its location and features.

• Proximity to Fire Protection: Properties within a certain distance of a fire hydrant or fire station may receive a lower premium. For remote properties, consider installing a sprinkler system or having access to an alternate emergency water supply.

• Year-Round Road Access: Ensure your property is accessible year-round for emergency services.

• Construction Materials: The use of fire-resistant construction materials can help lower your premium.

• Heating Source: The type of heating you use (e.g., oil, electricity, propane, or wood stove) can also affect your rate.

• Secondary Buildings: You can add coverage for outbuildings like bunk houses, boathouses, tool sheds, and saunas.

Should I Get Additional Coverage?

Reviewing your policy in detail with a Solutions Insurance advisor can help reveal any gaps in your coverage. Additional coverage may increase your premium, but each vacation property is unique, and these options could be a significant benefit.

• Contents: Some packages automatically include contents up to a certain limit for items permanently kept at the vacation home. Items you take back and forth, like clothing, are typically covered by your primary home insurance policy.

• Detached Private Structures: Limited coverage for outbuildings such as boathouses, garages, or sheds is often included, but you may need to increase the limit.

• Watercraft: Coverage for power boats, canoes, and sailboats is often limited and can be added to your policy with an endorsement to ensure you have appropriate coverage.

• Theft/Vandalism: Vacation properties are an easy target due to seasonal occupancy. Consider installing motion sensor lighting or a security camera.

• Third-Party Liability: This will protect you in case someone gets injured on your property.

What is Not Covered by Vacation Property Insurance?

It’s important to be aware of what is typically excluded from a vacation property insurance policy:

• Septic backup and flooding.

• Fuel oil release.

• Earth movement (e.g., earthquake).

• Damage to, or loss of, motorized vehicles, campers, or trailers.

• Damage caused by bears, raccoons, and other animals.

• Normal wear and tear of the premises and building.

• Acts of terrorism and losses due to war.

Your vacation property is your sanctuary and a significant investment. We are here to answer your questions and ensure it is properly protected so you can enjoy it for many years to come.