Nestled in the mountains your vacation home is the perfect getaway for family holidays, ski outings and hiking trips. But remember an important part of planning your trip is to make sure you have the right insurance coverage on your popular secondary home; something to consider when family and guests are all under one roof. Your insurance refers to a secondary home as a house, condo, mobile home or a RV that is set up on a permanent basis.
For your convenience, you can choose a prepackaged policy or customize a policy to meet your specific situation; however, not all Insurance companies require you to have your primary insurance with them in order to cover a secondary home.
Seasonal or secondary home coverages and settlement options can include:
Comprehensive Property Coverage
This means we can cover most direct, sudden, and accidental physical losses not specifically excluded in your policy.
Named Peril Coverage
This means “perils” (such as fire, explosion, lightning, windstorm and hail) that are specifically named in your policy are covered, subject to policy exclusions and conditions.
Liability insurance covers you if you’re found legally responsible for an accident that either causes injury to someone who doesn’t live in your home, or that causes damage to another’s property.
Actual Cash Value (Partial Loss)
In the event of a partial loss by an insured peril (like if a hail storm breaks a few windows), this covers the cost to replace or repair your damaged property, with a deduction for depreciation and minus any applicable deductible.
Agreed Loss Settlement (Total Loss)
If your secondary home is destroyed by an insured loss, you will receive the full amount of insurance you purchased for your home, minus any applicable deductible. Availability of the “Agreed Loss Settlement” option may depend on the type of policy written.
Purchase optional Replacement Cost coverage and receive a settlement that reflects the cost to replace the damaged property with new property of comparable material and quality, without any deduction for depreciation.
Extended Replacement Cost
You may receive up to an additional 25% of the amount of insurance necessary to replace your home. Extended Replacement Cost is not available in all states.