Hotel or Housing: What’s Best for the Insured


There are many factors that go into choosing a temporary living situation for a policyholder after a property loss. You take into consideration their coverage, loss of use amount, damages, the timeline of repairs, family dynamic, and current living arrangements. So, how do you determine what the best option is? Here are some quick tips from our expert staff to help you decide.  


We suggest a policyholder and, if any, family members can stay in a hotel when repairs will take less than a month. However, it is important to know their Loss of Use and understand that hotel prices can fluctuate and may not always be available for extensions. Also, depending on location, hotels with kitchens or kitchenettes might be scarce, in which case food costs can incur. When placing an insured in a hotel, always over estimate on the time. This way you can get the best rate, and checking out early is always better than not knowing where a family will stay.  

CRS Advice: Depending on location and length of stay, ask about vacation rentals. Sometimes they are easier to extend and usually have a set weekly or nightly rate. 


When repairs will take 30+ days, ask for housing immediately. Temporary housing is a process that includes searching (based on the insured’s criteria), viewings, lease terms, furniture orders and delivery (if needed). It ma0y sound like a ton of work, but once the insured accepts a property, the move-in process can be done in less than a week, depending on available move-in date of course. Choosing to place an insured in housing is the best option to save money and guarantees the policyholder a committed stay when repairs are taking longer than expected. Temporary housing will less likely have fluctuations in pricing and it is typically easier to extend on a month-to-month basis; ensuring a place to stay.

 CRS Advice: Temporary Housing is typically more cost effective than a hotel, however, it is important to keep in mind that extensions can usually only be done in 30-day increments. 



 So, a good rule of thumb to decide between a hotel and housing is this: anything less than 30 days, go with a hotel. Anything more than 30 days – ask for housing as soon as possible. 


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