Will my homeowners coverage cover my condo if it’s a rental?

The answer depends on the type of homeowners policy you have and whether you’ve informed your insurer about the condo being rented out.

Here’s the breakdown:

🏠 Standard Homeowners Policy (HO-6 for Condos):

If you have a standard HO-6 condo insurance policy but didn’t tell your insurer that the unit is a rental, you may not be fully covered — or worse, your claim could be denied.

Why? Because homeowners insurance is typically designed for owner-occupied residences. Renting it out changes the risk profile, and insurers require different coverage for that.

🛡️ What You Actually Need:

If your condo is used as a long-term rental, you should have a policy known as:

• Landlord insurance (also called a dwelling policy or DP-3 for condos)

This type of policy:

• Covers the structure and any property you own inside (like appliances)

• Offers liability protection if a tenant or guest is injured

• May include loss of rental income if the condo becomes uninhabitable due to a covered loss

If it’s a short-term rental (e.g. Airbnb), the situation gets more complex and often requires commercial or specialized short-term rental insurance.

⚠️ What Happens If You Don’t Switch Policies?

• Claims could be rejected if damage occurs while a tenant is living there

• Your insurer could cancel your policy for misrepresentation

• You could face personal liability if a tenant gets injured and your policy doesn’t apply

✅ Bottom Line:

If you’re renting out your condo, even occasionally, you must notify your insurer and likely switch to a landlord (rental property) policy.