Owning a holiday home, whether that’s a static caravan or holiday lodge, comes with freedom, flexibility, and a financial commitment. One area many first-time buyers overlook during the initial holiday home search stages is insurance. Adequate insurance is one of the key costs of buying a holiday home, it is not optional if you want real protection, and it’s not the same as standard home insurance.

This guide explains how insurance for holiday homes in the UK works, how much it costs, what it covers, and how to choose the right policy without overpaying or under-insuring.

What Is Holiday Home Insurance?

Holiday home insurance is a specialist form of cover designed for properties that are not occupied all year round and are often located on managed parks. It reflects the increased risks associated with intermittent use, exposure to weather, and in many cases, rental activity. 

This type of insurance is commonly used for static caravans, lodges, chalets, and other leisure properties. Standard home insurance usually excludes these properties entirely, particularly when they are left empty for extended periods or rented out to guests.

Holiday home insurance isn’t just about peace of mind, it is often a practical requirement of ownership. Many park operators insist that owners have valid insurance in place and will request a copy of the policy each year as part of their site rules. This ensures the property is protected against damage and liability risks that could affect the wider park. Even where it is not formally enforced, having appropriate insurance protects you from significant financial exposure if something goes wrong.

Static Caravan Insurance Explained

Static caravan insurance is tailored specifically to caravans that remain permanently sited. While they may feel like traditional homes, insurers treat them differently due to their construction and location.

A typical static caravan insurance policy covers damage caused by fire, storms, flooding (where accepted), theft, and vandalism. It also usually includes cover for permanent fixtures and fittings, as well as non-fixed contents such as furniture, appliances, and electronics left inside the caravan.

Outdoor features such as decking, outdoor structures and verandas are often covered, although fences and hedges are commonly excluded.

Lodge Insurance: What’s Different?

Lodge insurance works on similar principles but reflects, including the higher value and more substantial build of lodge-style holiday homes. Lodges are typically larger, better insulated, and more expensive to replace than static caravans, which is why lodge insurance policies tend to be more comprehensive, and more expensive.

Additional features may include accidental damage cover, loss of rental income, re-siting costs, and debris removal if the property is damaged beyond repair. Accidental damage will cover incidents such as water leaks or broken windows and may be worth paying a little extra for the additional peace of mind. Some insurers offer new-for-old replacement cover, and if your holiday home is under 20 years old, this is something that would be worth considering, meaning a new unit is provided instead of a depreciated payout.

Flood cover may be included within some static caravan and holiday home insurance policies, but availability depends heavily on location and flood risk. Properties in higher-risk areas may face higher premiums, increased excesses, or additional conditions. In some cases, flood cover may be excluded altogether, so it is important to check this carefully before taking out a policy.

Most insurers also set clear conditions around winter protection and may require you to keep up with ongoing maintenance responsibilities. If a holiday home is left unoccupied during colder months, owners are usually required to turn off the water supply and fully drain down systems. When these precautions are followed correctly, damage caused by frost or freezing is typically covered. Some policies also include keys and locks cover, meaning that if keys are lost or stolen, the cost of replacing external locks can be claimed.

Common Holiday Home Insurance Exclusions

Like all insurance policies, holiday home insurance includes exclusions that owners should understand before relying on cover. One of the most common areas of confusion relates to external boundaries. Fences and hedges are often not covered, even if they are damaged during storms or by falling debris. However, fixed structures such as decking or verandas are usually covered, provided they are specifically included within the sums insured.

Damage caused by domestic pets or vermin is also typically excluded. Insurers generally consider this preventable damage, meaning claims related to pet scratching, chewing, or vermin infestation are unlikely to be accepted.

Frost damage while a holiday home is unoccupied is another key exclusion. Most policies require the water supply to be turned off at the mains and all systems fully drained if the property is left empty for more than a short period, often 72 hours. If these precautions are not followed, claims for burst pipes or frozen systems may be refused. Some professionally installed heating systems containing antifreeze may be exempt, although older boilers and water installations are commonly excluded.

If a static caravan or lodge is rented out, accidental or malicious damage caused by tenants is usually excluded unless specific hiring-out or letting cover has been added, which is generally required within the rules of letting a holiday home. Without this extension, claims linked to guest damage or theft during rental periods are unlikely to be paid.

Landslip, ground heave, and subsidence are generally covered under most holiday home insurance policies, although insurers may apply conditions, investigations, or excesses depending on the cause and severity of the movement.

Failing to declare rental use can result in holiday home insurance claims being refused, as insurers require disclosure of how the property is used and treat letting as a material change in risk.

If you regularly rent out your holiday home, it may also be worth considering business insurance or loss-of-income cover. While some holiday home insurance policies include limited protection, they do not always cover wider commercial risks. Business-style cover can help protect you if your property becomes uninhabitable due to an insured event, or if you lose rental income through no fault of your own. For owners who rely on bookings to offset costs or generate income, this additional protection can make a meaningful difference. You may also want to check our guide on tax considerations for holiday home owners.

How Much Is Holiday Home Insurance?

The cost of holiday home insurance depends on several factors, including the value of the property, its location, flood risk, how often it is occupied, and whether it is rented out. Static caravan insurance is generally more affordable than lodge insurance due to lower replacement costs.

When assessing cost, it’s important to look beyond the headline premium. The level of cover should accurately reflect the true replacement value of your holiday home and its contents, ensuring your investment is properly protected. It’s also essential to check excess amounts, as lower premiums often come with higher excesses that could significantly affect what you receive if you need to make a claim.

Because every property is different, the most reliable way to determine cost is to obtain a tailored quote from a specialist insurer.

Price comparison websites can be a useful starting point when choosing holiday home insurance, as they help highlight broad price ranges and key differences between policies. However, they rarely show the full market. Some specialist insurers, particularly those covering static caravans, lodges, or rental use, do not appear on comparison sites at all. For that reason, it’s worth looking beyond comparison tools and obtaining direct quotes from specialist providers to ensure the cover, exclusions, and conditions genuinely match how your holiday home is used.

Final Thoughts

Holiday home insurance is not just a formality, it’s fundamental protection for a valuable asset. Whether you own a static caravan or a lodge, the right policy safeguards your investment, your income, and your peace of mind.

Get the cover right from the start, and you avoid costly surprises later.

Holiday Home Insurance FAQs

How much is holiday home insurance in the UK?

Holiday home insurance costs vary depending on property value, location, flood risk, and whether the home is rented out. Static caravan insurance is usually cheaper than lodge insurance. Accurate pricing requires a tailored quote.

What does holiday home insurance cover?

Holiday home insurance typically covers fire, storm damage, theft, vandalism, buildings, contents, and public liability. Optional cover can include accidental damage, loss of rental income, and new-for-old replacement.

Is holiday home insurance different from normal home insurance?

Yes. Standard home insurance usually excludes holiday homes, static caravans, and lodges, especially if they are unoccupied or rented out. Specialist holiday home insurance is required.

Do I need Static Caravan Insurance?

Static caravan insurance is not legally required but is strongly recommended and often required by holiday parks to a stated level. It protects against fire, storm damage, theft, vandalism, and liability claims.

What is the difference between static caravan insurance and lodge insurance?

Static caravan insurance usually covers lower replacement values, while lodge insurance reflects higher build costs, larger structures, and higher contents values.

Does holiday home insurance cover renting out?

Not automatically. Renting out requires specific letting or hiring-out cover. Without it, claims for guest damage or theft may be rejected.

Is public liability insurance included?

Public liability insurance is often included but limits vary. It is essential if guests or visitors use your holiday home.

Does static caravan insurance cover flooding?

Some policies include flood cover, depending on location and risk. Higher excesses or exclusions may apply in flood-prone areas.

What is new-for-old cover?

New-for-old cover replaces your static caravan or lodge with a new equivalent if it is damaged beyond repair, rather than paying a depreciated value.

Which holiday home insurance should I choose?

The right policy depends on property value, usage, rental plans, and park requirements. Comparing specialist providers is essential.