Spring rental turnover is right around the corner, and in Jacksonville Beach, demand for both long-term and short-term rentals is high. Whether you live in your home, rent it out, or rent from someone else, one question causes more confusion than almost any other:
When something goes wrong… who actually covers what?
We see this confusion all the time. Homeowners assume their policy covers a rental. Renters assume the landlord’s policy protects their belongings. Landlords assume everyone else has it handled. Unfortunately, insurance doesn’t work that way — and misunderstandings can lead to expensive surprises.
Below is a clear, real-world breakdown of homeowner, landlord, and renters insurance, using scenarios we regularly see: burst pipes, tenant damage, theft, and short-term rental situations.
1. Homeowners Insurance: Great for Living In — Not Renting Out
Homeowners insurance is designed for people who live in the home they own. It typically covers:
- The structure of the home against covered events like fire, wind, or vandalism
- Personal belongings inside the home
- Personal liability if someone is injured on the property
If a storm damages your roof or a pipe bursts while you’re living there, your homeowners policy usually responds — subject to deductibles and coverage limits.
Where homeowners run into trouble is when they decide to rent the property out, even temporarily. Most standard homeowners policies are not designed to cover rental activity, especially short-term rentals like Airbnb or VRBO. Insurance carriers often consider this a business exposure.
What we see locally:
A homeowner rents out their beach property “just a few weekends a year” and assumes their policy still applies — until a claim is denied.
Key takeaway:
If you’re renting out your home in any capacity, your homeowners policy may not be enough on its own.
2. Landlord Insurance: Built for Rental Properties
Once you rent a property to others, your role shifts from homeowner to property owner and investor. Landlord insurance is designed specifically for that risk.
A landlord policy typically covers:
- Damage to the structure from covered losses
- Liability protection if a tenant or guest is injured
- Loss of rental income if the property becomes uninhabitable due to a covered claim
- Optional coverage for appliances or furnishings you provide
What it does not cover is the tenant’s personal belongings — that responsibility belongs to the tenant.
Real scenario we see often:
A pipe bursts during spring turnover while the property is vacant. The landlord policy covers structural repairs. If the unit can’t be rented during repairs, loss of rental income coverage may help offset that downtime. Any tenant belongings inside the unit would require renters insurance to be covered.
3. Renters Insurance: Small Policy, Big Protection
Renters insurance is one of the most misunderstood — and most affordable — policies available.
It protects:
- A tenant’s personal belongings from theft, fire, or covered damage
- Personal liability if the tenant causes damage or injury
- Additional living expenses if the rental becomes uninhabitable
If a tenant’s furniture, electronics, or clothing are damaged in a storm or stolen, the landlord’s insurance does not cover those items. That’s what renters insurance is for.
We’ve seen tenants lose thousands replacing belongings after a loss — simply because they assumed the landlord’s policy protected them.
Bottom line:
Renters insurance protects your stuff, your liability, and your peace of mind.
4. Short-Term Rentals: Where Most Coverage Gaps Happen
Short-term rentals often fall into a gray area with insurance. Traditional homeowners policies were not built with hosting in mind, and many exclude or limit coverage when a home is used as a short-term rental.
Platforms like Airbnb may offer some built-in protection, but that coverage is limited and shouldn’t be relied on as a complete insurance solution.
Real example:
A guest damages furnishings and steals items from a short-term rental. Without proper coverage, the owner may be responsible for repairs, replacements, and lost bookings — even if the platform offers partial reimbursement.
If you host short-term guests, proper insurance isn’t optional — it’s essential.
5. Who Pays in Common Rental Situations?
Pipe Burst in a Rental
- Landlord insurance typically covers structural repairs
- Renters insurance covers the tenant’s belongings
Tenant Damage Beyond Normal Wear and Tear
- Intentional damage may not be covered under standard policies
- Liability issues can arise if unsafe conditions cause injury
Theft
- Landlord insurance may cover landlord-owned items
- Renters insurance covers tenant belongings and liability
The biggest surprises happen when one of these policies doesn’t exist.
6. Coverage Add-Ons That Close the Gaps
For more complete protection:
- Umbrella insurance adds extra liability coverage above standard limits
- Proper landlord or homeowners coverage ensures the structure is protected
- Renters insurance fills the personal property and liability gap for tenants
These policies work best together — not in isolation.
Conclusion
Understanding who is responsible for what homeowner, landlord, or renter is critical before the busy spring rental season begins. Having the right policy in place can mean the difference between a manageable claim and a costly, stressful situation.
If you want to make sure you have the right coverage for your situation whether you live in your home, rent it out, or rent from someone else we’re happy to help. Schedule a landlord or renter policy review with our team, and let’s make sure there are no surprises waiting for you.