Insurance denied from State Farm

Hello everyone,
I have a question regarding insurance for my fellow hosts residing in the USA. My insurance company sent me a non renewal notice saying that they do not cover Short term rental properties, and sent me over to Fair Plan insurance. Does any one had the same thing with State Farm?
Thank you

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I didn’t have this experience with State Farm specifically, but I was dropped from my home owners insurance. I went with Proper Insurance. They specialize in covering short term rentals. I dealt with Ian 1-888-631-6680.

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Just curious if you told them you were doing STR or if they somehow found out.

My Ins Co. is Liberty Mutual and I have a rider on my policy to cover the STR that costs me an extra $500/Year on top of my regular policy.

However, interestingly enough, the local State Farm agent has been pestering me to switch. I told him I did Airbnb and he said it was no problem and gave me a quote that was actually a little less than my current policy/rider. So it’s interesting that they are telling you they don’t do STR coverage.

@Chloe - That’s interesting about State Farm. For me, I had Travelers and I was the one to mention it to them, I was looking for a rider as well. They informed me that they wouldn’t cover a STR and that they would no longer cover me at all. I may have to look into Liberty Mutual. As well as Towergate, someone mentioned them on another post about insurance coverage for STR’s. These insurance companies are going to have to catch up with the times, so I’m not surprised some of them are changing their tune.

State Farm policies may differ from state to state. We were told that they would not renew our policy as well. We ended up with Safeco.

Thak you. I will chevk with them.

Hmm, I’m in Missouri and have State Farm with a STR rider that costs $159/year. I’m limited to 182 days a year, no preparing food for guests, and a fence around my pool. Granted, this is at my home residence, so not sure how it works if you’re set up at a different location.

I guess they don’t want our business.

Sorry to reawaken a dead thread, but wanted to add my State Farm experience. Was advised that as homeowner rates are regulated here in California, there essentially is too much risk for State Farm to cover STR as part of homeowner’s policy. However my agent was able to add a business policy in conjunction with my homeowner’s policy. This might have been possible since my unit is stand alone.

I also got a quote from Proper, and commend them for a very quick and professional response, but they were actually a little higher (underwritten by Lloyds of London). But they have some cool add-ons, such as bed bug coverage.

The business policy from State Farm is about 50% more than my homeowners policy. And yes, it did get scary for a bit, as I guess if I didn’t get separate coverage, I could be subject to cancellation.

So cross fingers, and hope it doesn’t get cancelled during underwriting process.

I’m with Allstate in California, and my rental unit is a detached bungalow. My agent has told me there’s no problem being an Airbnb host as long as the majority of guests are two persons max, not three or more.