What is holiday home insurance?

Holiday home insurance is a special kind of protection for your second home, whether you use it as a place to escape to, or rent it out for short stays. Because these homes aren’t lived in all the time, they face a different set of risks than a main residence, so they need specialist insurance.

Your holiday home might be empty for long stretches, making it a target for burglars, or liable to unnoticed problems like leaks or storm damage. Plus, if you rent it out to guests, there are extra things to consider, like whether those visitors might accidentally cause damage or even get hurt while staying there.

That’s where holiday home insurance steps in. It’s designed to cover these risks and give you peace of mind. It lets you enjoy your holiday home without less worry about the special risks it brings.

Why do I need holiday home insurance?

Leaving your holiday home empty for weeks or even months means things can go wrong without you realising it. Burst pipes, storm damage or even vandalism can cause expensive problems if no one’s around to spot them. And if you rent the place out to holidaymakers, there’s always the risk of accidental damage caused by guests.

Even if you’re only using the home yourself, holiday home insurance gives you peace of mind for those unexpected mishaps. It helps protect your investment, whether you’re relaxing there or miles away back at your main home.

Standard home insurance usually won’t cover properties left unoccupied for long periods or used for holiday lets. It’s for full-time homes with someone always around – not occasional getaways. That’s why specialist holiday home insurance is usually necessary, with the flexibility and protection these properties really need.

Here’s why holiday home insurance can make sense:

  • Protect your property: Covers the building from damage caused by fire, storms, flooding or vandalism.

  • Cover your contents: Protects your belongings inside the home if they get stolen or damaged.

  • Rental peace of mind: If you rent out your holiday home, liability cover helps if guests are injured or damage property.

  • Income protection: Helps cover lost rental income if your home can’t be used due to an insured event.

  • Accidental damage cover: Optional extra for those little ‘oops’ moments caused by your or your guests.

What does holiday home insurance cover?

Holiday home insurance usually includes many of the same basics as regular home insurance – but with extras designed for properties that are often empty or let out. You can tailor your policy to cover just the building, just your belongings inside, or both.

If you rent your property out, you can also get cover for legal liabilities and accidental damage caused by guests. Some policies even pay out if you lose rental income after an insured event.

What may be covered by holiday home insurance, depending on the insurer and policy you choose:

  • Buildings insurance: Covers the structure of your property. Coverage is typically for holiday homes built of standard construction.

  • New-for-old contents cover: Damaged or stolen items can be replaced with brand-new equivalents. Also includes replacement locks if keys are stolen from the property.

  • Glass and sanitaryware: Protection for things like windows, sinks, baths and toilets if they’re accidentally damaged.

  • Public liability cover: This protects you financially if someone is injured on your property.

  • Flooring damage: Covers fitted flooring like carpets, vinyl or laminate.

  • Alternative accommodation: If your property becomes unliveable after an insured event, this pays for guests to stay elsewhere.

You can usually tailor your holiday home insurance with extra cover to suit how you use your property. Here are some add-ons you might be offered:

  • Legal expenses: Covers legal costs for things like contract disputes, tax issues and legal defence.

  • Loss of rent: Helps make up for missed bookings if damage means you can’t let the property.

  • Accidental damage: Add cover for unexpected damage to buildings or contents.

  • Theft or malicious damage by guests: Protection if guests steal from or deliberately damage your property.

Remember, what’s included can vary quite a bit depending on the insurer and the level of cover you choose. That’s why it’s always worth comparing policies carefully to make sure you're getting the protection that fits your lifestyle.

What isn’t covered?

No insurance can cover absolutely everything, so it’s important to check what’s excluded from your policy. Common things not covered include:

  • General wear and tear.

  • Damage caused by cleaning, dyeing, renovating, altering, repairing or restoring an item.

  • Damage caused by wet rot, dry rot, frost, vermin or woodworm.

  • Typically holiday home coverage does not extend to static or mobile caravans - specialist cover is usually needed.

  • Problems resulting from poor workmanship or design faults.

  • Any events or damage that happened before your policy started, or situations you knew about beforehand.

  • Damage caused by domestic animals, such as chewing, scratching, tearing, or fouling.

Make sure you read the full policy details carefully to understand all the exclusions.

Can I get cover for my holiday home’s swimming pool or hot tub?

If your holiday home comes with a pool or hot tub (lucky you!), the good news is that some specialist holiday home insurance policies can cover them, but it’s important to check the fine print.

Built-in swimming pools or fixed hot tubs are usually treated as part of the building, so they’d typically be covered by your buildings insurance for things like fire, storm damage or vandalism. If yours is freestanding or inflatable, though, it might count as part of the contents instead. Make sure it’s listed under your contents cover, along with accessories like covers and cleaning equipment.

If you rent the place out, don’t forget the public liability side of things. Pools and hot tubs come with extra risk, so your insurance should include solid public liability protection in case a guest gets hurt while using them. Always double-check the policy wording to make sure there aren’t any exclusions or special conditions attached.

How much does holiday home insurance cost?

How much holiday home insurance will cost for you will depend on factors like your property’s postcode, your claims history and the level of cover you go for.

Here’s what could influence the cost of your holiday home insurance:

  • Where the property is: Areas with higher crime rates or a history of theft can increase your premium.

  • The type of property: For example, a listed building, a cottage with a thatched roof, or homes in high-risk areas may impact the price.

  • Security features: Having things like burglar alarms, door and window locks, or CCTV can sometimes bring the cost down.

  • The value of your belongings: The more you own, and the higher the value of your items, the more it’ll cost to insure them.

  • Your claims history: If you’ve made claims in the past, it can bump up your premium.

  • Optional extras: Adding cover for accidental damage or loss of rent can all increase the cost.

  • Your excess: Picking a higher voluntary excess – that’s the amount you agree to pay yourself if you make a claim, on top of any fixed excess – can help bring down the cost of your premium.

Did you know that your policy quote isn’t just based on you and your home? There are some other factors that can affect the cost of everybody’s home insurance:

  • Wild weather: Flooding is on the rise in the UK and more frequent storms mean more claims, which can push up premiums.

  • Higher repair costs: Labour, materials, and energy prices have all gone up, so fixing homes now costs more – and insurance prices are catching up.

  • More water damage claims: Things like frozen pipes bursting in winter are surprisingly common, and they’re costly, which affects everyone’s premiums.

  • Rising number of claims: The more people claim for things like theft or damage, the more insurers have to pay out, and that cost gets reflected in your policy price.

Remember, it’s always worth shopping around when your renewal comes up. Even small differences in cover or excess can make a big difference to the premium.

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Page updated on 2nd October 2025, Reviewed by Richard Groom