Last Updated on February 25, 2020 by Mark Lavington
Whilst letting your holiday home you expect an amount of general wear and tear such as scuffs on walls and the odd broken piece of crockery which you no doubt absorb into your general running costs. Occasionally your holiday home guests may cause more serious damage either accidentally or with malicious intent.
Damage by holiday let guests – who pays?
You’ll be wondering the best course of action to return your holiday home to its previous condition, to cause as little disruption as possible to forthcoming lettings and limiting your losses. In this article we delve deeper into the holiday home insurance frequently asked question, “Damage by holiday let guests – who pays?“. This may mean a holiday home insurance claim, although there are other options you may wish to explore first.
Holiday home booking conditions
An essential measure is to have in place holiday home booking conditions which hold the person(s) booking the holiday home responsible for the costs of any breakage or damage in or to the property. Communicating these terms clearly will focus your guests to treat your holiday home with the respect it deserves whilst enjoying their stay.
Security or damage deposits
There has been a move away from security or damage deposits in the holiday letting industry, although where used these can allow small sums to be recouped easily by withholding that proportion of the deposit. However if the loss or damage is greater than the security deposit the difference must still be sought from the guests who sometimes are confused, thinking the deposit in some way limits or waivers further liability.
Guests may have liability cover under their own travel or home insurance
For low value losses or damage you may well take the stance that you would rather absorb the cost than upset the relationship with your guest. For higher value losses where your guest has admitted liability, you may well wish to settle with them direct for replacement or repairs. Indeed the guests themselves may well be insured for such damage under the liability section of their own travel or home insurance policy on which they may choose to claim.
Holiday home insurance including accidental damage caused by paying guests
Accidental damage rendering your holiday home unavailable to let, where the guest is not cooperative, or instances of malicious damage you would be best to put the matter in the hands of your holiday home insurer so that damage may be put right as quickly as possible with least disruption to future lets. This highlights the importance of having a policy which includes cover for accidental damage to your holiday home buildings and contents by paying guest and does not exclude malicious damage by them: You will be liable for the holiday home insurance policy excess and your insurers will recompense you the difference. Your insurer will not only work with you to minimise disruption, under subrogation they assume the right to recover the damages reimbursed from the party responsible, where financially viable to do so.
Additional guidance on damage by holiday let guests – who pays? and holiday home insurance advice and quotations are available from the Boshers Holiday Home Insurance Team on 01237 429444 or for further information visit holiday home insurance.
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