Lodger insurance: What homeowners need to know

 

If you rent out a room in your own home, having a lodger increases the risk of property damage, theft, and liability. Standard home insurance may not automatically cover these additional risks, so it’s important to review your policy when taking on a lodger.

Do I need lodger insurance?

In most cases, you won’t need a completely separate insurance policy. However, you should update your existing home insurance to account for the extra risk that comes with:

• Additional people living in your home
• Tenants having their own key
• Increased liability for accidents or damage

Updating your policy ensures that your coverage remains valid and provides protection against potential claims or damages caused by lodgers.