Information About Insuring a Vacation Home

Information About Insuring a Vacation HomeIn the same way that your first home is crucially important to insure, so is a secondary vacation home. Vacation properties are often in locations that come with a higher risk factor, areas that are highly desirable to visit, but also prone to harsh weather and other risks. Insurance coverage for a vacation home may come at a higher cost and it is good to know all the details about insurance for a vacation home before purchasing one. 

The biggest factors that impact vacation home insurance costs

Homeowners' policies for second homes do provide the same type of coverage as for your first full-time home, but the cost can be a bit higher than that of a first home. There are many factors that play a role in this higher cost.


The location of any property is always a large factor in the cost of homeowners insurance for any residential structure. For example areas prone to hurricanes have a higher risk of flood and wind damage. What makes a location desirable such as being on the water in a tropical destination can also make it more expensive to insure. This higher potential for damage will bring a higher deductible.

Type of property

The age and type of materials used to build a home will also impact the cost of your insurance. Additionally, two different property types in the same area may have different insurance coverage costs. For example, a condominium within a large building may come at a lower cost than a single-family home on the beach. This is because there is a homeowner association and other properties that come into play that will insure outside of the condo building while private insurance will cover the inside of your home only.


If you have a vacation property with private amenities such as a hot tub or a pool this can also raise the insurance costs. The reason for this is these items are more expensive to replace when something goes wrong.

How do you save on vacation home insurance costs?

Though the cost of vacation home insurance can come at a higher price, there are some ways to save money on insurance costs for vacation homes.

Bundle your policies

If you use the insurance provider for your primary residence to ensure your vacation home often the insurance company will offer a discount or bundle price to help save on the cost of premiums.

Install a security system

Several homeowners insurance companies offer a discount on insurance costs when a security system has been installed on the property. This can apply to vacation homes as well, especially because vacation homes can sit vacant for long periods of time. A security system significantly reduces the chance of needing to make a claim due to burglary and as such helps the homeowner save money while they say the insurance company money.

Check out all your options

It is a good idea to look at more than one insurance company and what they will offer for coverage and rates. Looking over at least three different insurance quotes can help you to decide what your best options are. 

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