In Washington, PA, some homeowners choose to rent out a room in their home for extra income or flexibility. While renting a room can be beneficial, it also introduces new risks that homeowners should consider when reviewing their insurance coverage.

The team at The Hansen Agency LLC helps homeowners understand how renting part of their home may affect their homeowners’ insurance and what steps can be taken to ensure proper protection.

How Homeowners Insurance Applies When You Rent a Room

A standard homeowners insurance policy is designed to cover the structure of your home and provide personal liability protection. However, coverage may be limited when damage or injuries involve a renter.

If a renter causes damage to your home, coverage under a standard homeowners policy may be restricted, depending on the circumstances and the terms of the policy.

Homeowners insurance also includes personal liability coverage if someone is injured on your property. However, injuries involving a renter’s guests inside the rented portion of the home may not be fully covered under a standard policy.

Your homeowners’ policy does not cover a renter’s personal belongings. Renters are responsible for insuring their own property.

Insurance Options for Renting Out a Room

In Pennsylvania, renting out part of your home may be considered a business activity by insurers. Because of this, you may need to add a rental endorsement to your homeowners policy or consider a landlord policy, depending on the rental arrangement.

It is also a good idea to require tenants to carry renters’ insurance. A renters’ insurance policy helps protect a tenant’s personal belongings and provides liability coverage if a guest is injured within the rented space.

Home Insurance Guidance in Washington, PA

If you are currently renting out a room in your home or considering doing so, The Hansen Agency LLC can help you review your insurance coverage. Our agents work with homeowners in Washington, PA to identify coverage options that help protect both the home and the homeowner.

Contact The Hansen Agency LLC to discuss your situation and make sure your insurance coverage aligns with how your home is being used.