When you purchase condo insurance, your condo insurance helps cover you against the loss of use. This means that if a pipe burst and your condo is uninhabitable until it is fixed, your insurance policy will help pay for a hotel or housing until the problem if repaired, after you have covered the cost of your deductible. But if you are renting your home out, you may find yourself wondering if this coverage applies to your renters as well.
As a general rule of thumb, the coverages that apply to you as the owner do not apply to any renters that you have living in the condo. This means that if you have renters in your condo, chances are, the loss of use coverage does not apply to those renters. Renters can purchase rental insurance which should cover their loss of use while living in the condo.
It is important to let your condo insurer know if you are renting your condo out, either for short term or long term use. You will need to add rental dwelling insurance to your policy or purchase an entirely new policy for this purpose. The rental dwelling insurance helps to cover your condo when you have renters inside. While this policy may not cover your renters loss of use, it may help you cover the loss of rent that you may be out if something happens and the unit becomes inhabitable and you cannot collect rent on the unit.
If you are looking to purchase condo insurance for a condo located in the greater Virginia Beach, VA area, let Insurance Shopper VA help. We can help you find the right insurance policy for all of your needs, including condo insurance to help cover you if you are renting your condo out. Call us today to get started.