By Adam Heath
Executive General Manager, Insurance Solutions
21 March, 2017
If you’re keen to maximise the value of your asset by turning your home or bach into an income-earner, it's important to understand how it will affect your insurance.
You don’t need different cover—but you’ll need to make sure that you’re meeting your normal policy conditions, including letting us know if you are not living in the home. Damage caused by paying guests is also subject to an extra excess, on top of your standard excess.
If you're letting out a bach or investment property that you don't normally live in, you may need different cover. Check out this blog on how the sharing economy affects insurance for more information.
For example, Airbnb does offer a Host Guarantee to provide protection for damages (in New Zealand the guarantee is for up to NZ$1.3 million), but this doesn’t replace insurance. You can check the Airbnb website here for details of the Host Guarantee.