Does Renters Insurance Cover Extended Hotel Stays?

Renters insurance coverage includes additional living expenses coverage as standard coverage. Additional living expenses coverage can pay for temporary housing if your rental is temporarily uninhabitable.

If you are displaced from your rental due to a covered event, your renters insurance will automatically pay for the increased costs of staying at a hotel, Airbnb or even another rental until you can return. It may also pay for any other additional living expenses, such as your laundry, the cost to get to work from your temporary housing, boarding of pets, storage units and more. However, renters insurance limits for loss of use can vary, which is why it’s important to get enough coverage.

The additional living expenses coverage on your renters insurance policy will pay for increased costs of temporary housing, which can come in the form of hotels, Airbnbs or temporary rentals. Below are a few example scenarios where you can expect to be covered by your renters insurance policy.

Renters insurance ensures that you are protected in case you get displaced by a covered event. Not only does it help pay for temporary housing, it also pays for a lot of costs that increase as a result of your displacement. For instance, if you get placed in a hotel and spend an additional $150 a week on ordering takeout because you can’t cook, renters insurance could help you recoup these costs.

If your rental becomes uninhabitable due to an uncovered event, such as an earthquake or flood, your hotel expenses will not be covered. However, some insurers may offer you additional coverage for these events.

Another instance where you may not be covered is if the damage to your rental was caused by you. This will mean you will have to pay for temporary housing out-of-pocket since you caused the damage.

Needing to stay at a hotel temporarily can cause a lot of disruption in your day-to-day activities, not to mention the costs can add up quickly. Protecting yourself from needing to use your loss of use coverage is the ultimate way to ensure you can continue your daily activities.

Renters insurance can be purchased from most major companies, such as GEICO, Amica Mutual, Allstate, Nationwide and more. Smaller companies such as Lemonade, Toggle or Roost also offer renters insurance, which means it’s available just about anywhere.

The average cost of renters insurance is $13 per month, but your actual rates can vary based on your limits, location and other factors. Comparing renters insurance between providers can ensure you get the best rate for your needs.

Use MoneyGeek’s renters insurance calculator below to compute how much you may have to pay based on your personal property limits.