June 4, 2012
(Vancouver, BC): In the past 8 months, Square One Insurance has talked to over 850 BC house owners and has found nearly 25% of them rent out a portion of their home to non-family members. This could be a basement suite in the home, or a garage converted to a “coach house”. Square One’s findings reinforce a 2009 study completed by the City of Vancouver, which estimated between 23% and 27% of single-family houses have suites. Square One says that while mortgage-helpers are well, helpful, there are home insurance implications that house owners need to be aware of.
“The high percentage of people renting out a portion of their houses is understandable given today’s economy and the high price of real estate across the province,” says Daniel Mirkovic, Square One’s President & CEO. “In fact, we suspect the actual percentage is considerably higher. Some people may be reluctant to disclose this information to their home insurance provider if they haven’t secured necessary municipal approvals and permits.”
The rental income from your tenants can be a great help in paying off your mortgage. But if you’re considering renting out part of your home, be sure to discuss it with your insurance advisor first. A rental suite may or may not be allowable under the type of policy you have, and adjustments may need to be made in order for coverage to remain in place. Here are some things to keep in mind when you’re considering renting out a portion of your home:
Since more and more people are opting to create a rental space in their homes, it’s important to have the right insurance coverage in place. Always consult your insurance advisor to ensure you have the insurance coverage you require. For additional home insurance tips, visit www.squareoneinsurance.ca.
-30-Established in 2011 and based in Vancouver, British Columbia, Square One Insurance provides Canadians living in urban centres with modern, relevant home insurance. Square One is one of the few providers in Canada specializing in home insurance and offering truly customized policies that can be purchased over the phone and online. For more information about Square One, visit our www.squareoneinsurance.ca.