Second Home and Holiday Let Insurance
A property that is not your main residence sits outside standard home insurance, and the reason is straightforward: it is empty for long periods and, if let, occupied by people with no stake in looking after it.
Second homes
Second home policies account for periodic occupancy. The main condition to read is the unoccupancy clause, which typically restricts cover after a stated period of vacancy — commonly thirty to sixty days.
During extended vacancy, insurers usually require the water to be turned off and the system drained in winter, heating maintained at a minimum temperature, and regular inspections documented.
Escape of water is the dominant claim type in unoccupied properties, because a leak that would be noticed within minutes in an occupied house runs for weeks in an empty one.
Holiday lets
Letting to paying guests is a commercial activity and requires cover written for it.
Public liability is the essential component, and limits should be substantial. Guests are unfamiliar with the property, and injuries from stairs, glass, hot water and outdoor features generate real claims.
Employers' liability applies if you engage cleaners or maintenance staff, even casually.
Loss of rental income cover replaces bookings lost while the property is uninhabitable after an insured event.
Accidental damage by guests is worth including, since it is common and generally excluded from basic policies.
What tends to be excluded
Theft without forcible entry, which matters where guests hold keys.
Damage from parties or events, and some policies exclude lettings to certain groups or restrict minimum stay lengths.
Wear and tear from high turnover, which is not an insured peril.
Regulatory and practical obligations
Holiday lets attract obligations that vary by jurisdiction: fire risk assessments, gas and electrical safety certification, furniture fire safety, and in some places registration or licensing schemes.
Insurers commonly require evidence of compliance, and non-compliance can void cover as well as breaching the law.
Mortgage terms frequently restrict letting, and letting without consent can breach the mortgage as well as the insurance.
Practical steps
Tell the insurer exactly how the property is used, including how many weeks it is let and whether you also use it personally.
Fit a leak detection device with automatic shutoff. In a property that is regularly empty this is among the most cost-effective risk reductions available, and some insurers discount for it.
Keep an inventory with photographs and document the condition between lettings, which resolves most disputes about guest damage.
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