If you own a property overseas, lucky you! Owning an overseas property can be great, but it’s not always plain sailing. There are many liabilities and factors that you need to consider when it comes to insuring your investment.
It’s likely that most of the time you’ll be a long way from your property and you can’t always be there when a crisis happens. For peace of mind, it is important that your dream holiday home is fully covered so that you know your building, its contents and your liabilities are protected when you’re not there.
When shopping around for the perfect holiday home insurance, think about the following:
Frequency the overseas property is used
If you own a property overseas that is only used a few times a year it may increase the premium you have to pay. If you visit the property a few times a month, or it’s continually occupied, this could be looked upon more favourably and reduce your insurance premium.
Letting out your property
If you let out your property to friends or strangers this may also have an effect on the type of policy you require. You may also let out your property for longer term tenants or spend a greater proportion of the year there yourself. Some insurers may have to add in extra clauses or charge a higher premium if you let out your property to third parties.
Country of your property
Where your property is can also affect your premium. If it’s within the EU, it can sometimes to be easier to get a good comprehensive policy. It may be best to avoid getting a local policy as it could contain clauses that are not applicable or be in a language that isn’t immediately easy to understand.
UK residents
Some insurance companies insist on a UK address when you are insuring and overseas property. If your property is purely a holiday home then this should not be a problem. If, however you do not have a UK address you may have to search a little bit harder to find an insurer that will provide cover for you.
Other types of overseas properties
If you own a caravan or mobile home, there are specific types of policies that can protect your property and its contents. It's worth talking to a specialist provider who will best understand your insurance needs.