MONDAY, NOVEMBER 4, 2013
From a cozy cabin deep in the woods to a beach cottage in North Carolina, a vacation home is designed to be a place to relax, rejuvenate, and get away. Vacation homes often provide family memories for several generations.
 Those who invest in a vacation home are not only investing in desirable real estate, they are investing in a lifetime of celebrations and a place to build memories. But without vacation home insurance, what would happen if your home were destroyed in a fire? Or if a snowstorm caused severe damage?
You may have an emergency fund to help with unforeseen home repairs or damage, but if you own a second home, protecting both of your investments is crucial.
Coverage:
Vacation home insurance is very similar to standard home insurance and protects the property and possessions against snow, rain, hail, wind, tornadoes, fire, lightning, burglary, and vandalism. If your vacation home is often host to parties, guests, or others, it is also important to have liability insurance to cover losses stemming from a slip-and-fall incident, dog bite or other accident occurring on your property.
Cost:
Vacation home insurance may cost more than the policy for your primary residence depending on the location and the inherent risks involved. Vacation homes are often more susceptible to burglars, and damage caused by storms or thieves. In addition, damage to a vacation home is often unnoticed for months, which increases repair costs. To keep your insurance costs low take advantage of multi-policy discounts by keeping all coverage with one company. Install security systems and keep all electrical and plumbing systems up to date.
Individual Protection:
Two of the most popular types of vacation homes are beachfront property and mountain cabin. Whether you prefer the sand or the trees, there are specific things you can do to protect your getaway.
Beachfront Property Protection:
Generally, flood insurance is not covered by a standard vacation home insurance policy. A separate flood insurance policy is required. If your home is in an area prone to hurricane, talk to your agent about specific coverage for hurricane damage.
Mountain Cabin Protection:
In cold weather areas, winter storms can cause major damage in a short period of time. Winterize your home before departing for an extended period. If forest fires are a concern, take steps to fireproof your home. This may be as simple as clearing vegetation from around the perimeter. Earthquake insurance is not covered by a standard vacation home insurance policy and must be purchased independently.
By Matt Reynolds - Google+
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