Public liability insurance protects holiday let owners from legal costs and compensation resulting from accidents that guests may have whilst on your property. Whether it’s an electric shock, a trip or slip, or poolside injury; regardless of the incident the results can be just as catastrophic to both the guest and the property owner.

It goes without saying that most holiday are happy times that go without any problems. But if a guest suffers serious injury whilst on your property, then you, as the owner, can be found negligent and expected to pay compensation to cover the damages. Resulting expenses could be life changing, depending on the extent of the injury and their circumstances.

How does public liability insurance help?

Public liability insurance protects the homeowner by covering legal and compensation costs that arise from such an eventuality, which in extreme cases can lead to bankruptcy.

Should a guest find you negligent for the accident, e.g. it was a result of poorly fitted carpets loose fixings, poorly maintained equipment,  then you would be held liable.

The legal fees in themselves can be painfully high before the settlement amount is even agreed, which is why public liability insurance is worthwhile for your peace of mind and financial planning.

Is public liability insurance necessary?

Public liability insurance isn’t a requirement to rent out your holiday home. Having said that, savvy renters may look for this when choosing their holiday property. So, aside from the financial protection it offers, it could be a useful advantage to selling out your property.

It’s worth providing evidence of any public liability insurance to any holiday letting agents you may use. Sykes cottages, for example, insists that you have at least £2million public liability cover as part of their contract.

Our top 5 providers for 2022

So, if you’re looking to get a quote for public liability insurance for your holiday let, here are our top 5 providers to look at.

Policy Powerhouse’s Holiday Let Insurance is a building and contents insurance policy called ‘Holiday Lets’  and includes public liability up to £5m as standard, with cover for accidental bodily injury and accidental damage to property.

 Holiday Lets also covers the following as standard:

• Free accidental damage to buildings
• Free £10k landlords contents
• Free £25,000 ID Fraud 
• Alternative accommodation for your guest if your property cannot be lived in following insured damage
• Fire and water damage (including if caused by guests)
• Replacement locks following theft of keys.
• Employers’ liability insurance, a legal requirement if you employ staff such as a cleaner or gardener.
• Loss of rental income if the premises cannot be occupied as a result of insured damage – ‘standard’ cover equivalent to 25% of the buildings sum insured for a period of 24 months or longer if required

With optional additional cover for:

• Theft and Malicious damage caused by guests
• Emergency Cover – giving you and/or your guests immediate assistance
• Legal expenses
• Accidental damage to contents

You can get a quick quote in just a few minutes thanks to their modern quoting platform.

Schofields include £5million public liability cover when you insure either buildings or contents, allowing you the flexibility to insure these two elements separately.

Schofields’ buildings insurance covers:

The main structure of your holiday let and its permanent fixtures and fittings, such as the roof, walls, floors, ceilings, fitted kitchen or bathrooms if they are damaged. Garages, outbuildings and sheds should be covered too.

What’s not covered:

• General wear and tear

Schofields’ contents insurance covers:

Owners personal belongings such as furniture, kitchen appliances, electricals, soft furnishings and carpets if they’re damaged, lost or stolen.

What’s not covered:

• Valuables or guests possessions
• Breakdown of household appliances
• Single items are only covered up to a certain amount

Get a quote from Schofields

Boshers increased the public liability cover included in their holiday let insurance in 2018 to £10million.

They state “It’s previously been recommended that cover of £3 million for small properties (sleeping up to two guests) and £5 million for larger properties, would be sufficient. By offering our holiday homeowners up to £10 million we’re giving complete peace of mind that should anything happen, our policy will provide you with an unrivalled level of support.”

Their insurance cover also includes:

• £10million employers’ liability
• Loss of rental income – up to the sum insured
• Legal expenses up to £1million
• Accidental damage
• Theft even whilst occupied by a guest

With Boshers, however, you can’t get a simple quote online, so you’ll need to call them to build a policy that works for you.

If you own holiday let properties outside of the UK, then Instasure covers more than 40 countries in Europe and beyond. Like most holiday let insurance policies, it includes £5million public liability cover, along with:

• Damage to buildings cause by natural disasters, such as lighting and earthquakes (earthquake cover dependant on property location).
• Physical loss or damage caused by fire, smoke, riot, storm, flood, hail, earthquake and avalanche.
• Escape of water, sewage or oil from any fixed heating or domestic water installation.
• Loss or damage to contents including household goods, fittings and personal property, due to natural disaster, theft or accidental damage

Get a quote from Instasure.

Home Protect ‘s holiday home insurance insurance includes public liability cover up to £5 million. It will insure cottages, mansions, lodges, barn conversions and country homes that are let out to paying guests – including Air bnb rentals.

What’s included:

• Standard policy protects the property, outbuildings and fixtures and fittings against fire, storm, and escape of water.
• Loss of rent (up to £30,000) and costs of alternative accommodation (up to £75,000).
• Domestic liability cover for accidents to staff such as cleaners and gardeners.
• 24/7 legal helpline: legal expenses up to £50,000 available for legal proceedings such as property damage.
• 24/7 home emergency cover available for emergency repair costs, the failure of the domestic power supply (gas or electricity), leaking water pipes or a break-in – plus up to £500 per claim for labour costs and parts.

There is optional additional cover for:

• Accidental damage
• Personal possessions anywhere in the world
• Full home emergency
• Full legal expenses

Get a quote from Home Protect.

Summary

If you own a property that is rented out to paying guests on a short term basis, it’s important to consider your risks and purchase a specialist holiday let insurance policy. Read  more about what holiday let insurance is and what it covers.

Having the right insurance gives you peace of mind that your future is protected, and your investment safe.