Short-term rental damage claim
Lena asks:
(updated on Friday, May 22nd 2015)
My tenant’s child has accidentally broken a large window, they have asked me to repair it through insurance. I don't have landlord insurance and my property is not listed with my insurance company as a rental because the tenants are only in there for a short period. Do I pay for the broken or window or do they? Or can I claim on my standard house insurance?
Our Experts Answer:
Your question raises a couple of matters. Firstly, there has been a recent case under the Property Law Act ("Holler vs Osaki") which prevents a landlord from seeking recovery of costs from their tenant where he/she has accidentally damaged the landlord’s property. This means you may not be able to claim costs for the broken window back from your tenant. Secondly, insurers always need to know the occupancy type as this can increase the chance of damage to the home, so will affect the premium they charge and/or the excess. For example, rentals/holiday homes are generally perceived as a higher risk to insurers than owner occupied homes. Therefore attract higher premiums and excesses. Since you haven’t declared to your insurer that your home is rented – albeit for a short term – they may decline your claim for non-disclosure of a material fact. However, given it’s a short-term rental (and assuming it’s normally owner occupied and not rented), hopefully they may look kindly on your claim or apply the terms they would have if they had known that the property was tenanted.
Most Read
| Unity First Home Buyer special | 3.95 |
| SBS FirstHome Combo | 4.19 |
| ICBC | 4.49 |
| Kiwibank Special | 4.49 |
| Co-operative Bank - First Home Special | 4.55 |
| TSB Special | 4.59 |
| Kainga Ora | 4.59 |
| Unity Special | 4.59 |
| BNZ - Std | 4.65 |
| Co-operative Bank - Owner Occ | 4.65 |
| ASB Bank | 4.65 |
| Kiwibank Special | 4.89 |
| ICBC | 4.89 |
| Kainga Ora | 4.95 |
| China Construction Bank | 4.95 |
| Unity Special | 5.09 |
| Nelson Building Society | 5.09 |
| BNZ - Std | 5.09 |
| Westpac Special | 5.19 |
| TSB Special | 5.19 |
| SBS Bank Special | 5.19 |
| ASB Bank | 5.25 |
| Westpac Special | 5.59 |
| ICBC | 5.65 |
| Kainga Ora | 5.69 |
| TSB Special | 5.79 |
| BNZ - Std | 5.79 |
| SBS Bank Special | 5.79 |
| Kiwibank Special | 5.79 |
| Co-operative Bank - Owner Occ | 5.89 |
| ASB Bank | 5.89 |
| AIA - Go Home Loans | 5.89 |
| China Construction Bank | 5.99 |
| SBS FirstHome Combo | 3.29 |
| AIA - Back My Build | 3.34 |
| SBS Construction lending for FHB | 3.74 |
| CFML 321 Loans | 3.95 |
| Co-operative Bank - Owner Occ | 4.99 |
| Co-operative Bank - Standard | 4.99 |
| Heartland Bank - Online | 5.30 |
| ICBC | 5.39 |
| Kiwibank - Offset | 5.65 |
| Kiwibank Special | 5.65 |
| Kiwibank | 5.65 |

