Landlord Insurance in Spain – Long-Term vs Holiday Rentals (2026)
Complete 2026 protection guide for rental property owners: long-let and holiday-let coverage, legal requirements, tenant protection, typical costs (€200-600 base + €80-300 holiday let add-on), and common mistakes.
Quick Answer (TL;DR)
Landlord insurance in Spain costs €200-600 annually for long-let base cover, with holiday-let endorsements adding €80-300/yr. Policies must match property use: long-let (arrendamiento de vivienda) or holiday let (vivienda de uso turÃstico). Long-let adds loss of rent, malicious damage, legal defense. Holiday lets need short-stay endorsement, guest liability, higher contents limits, and tourist license compliance.
- Building structure, landlord liability, loss of rental income (after insured peril)
- Malicious damage by tenants, legal expenses for disputes & evictions
- Holiday lets: short-stay endorsement, guest liability, theft without forced entry often excluded
- Tourist license & local regs compliance required (extinguishers, signage)
What Landlord Insurance Covers (By Scenario)
Landlords – Long-Let (Arrendamiento de vivienda)
For traditional long-term rentals (6-12+ months), you need everything a second-home owner needs, plus specific landlord protections:
Standard Long-Let Coverage
- Building structure (walls, roof, fixtures)
- Landlord liability (injuries on property)
- Loss of rental income (after insured peril)
- Malicious damage by tenants
- Legal expenses & eviction support
- Appliance breakdown (optional)
Optional Add-ons (Long-Let)
- Contents insurance for furnished lets
- Extended rent guarantee coverage
- Property owner protection (rent arrears)
- Boiler and appliance breakdown
- Increased liability limits
Holiday Lets / Tourist Rentals (Vivienda de uso turÃstico)
Short-stay properties (Airbnb, Booking.com, etc.) need explicit holiday-let endorsements:
Essential Holiday-Let Coverage
- Short-stay endorsement (guest turnover)
- Guest liability (injuries to guests on premises)
- Higher contents limits for repeated occupancy
- Compliance with tourist license & local regs
Holiday-Let Exclusions (Often)
- âš Theft without forced entry may be excluded
- âš Loss of rent without damage (platform issues)
- âš Illegal or unlicensed tourist rental activity
- âš Guest negligence without guest liability add-on
Fire damage is a major concern for rental properties
Rental properties face elevated fire risks, especially during vacancy periods between tenants. Fire damage claims can be complex and costly. Read our landlord-focused guide to fire damage restoration to understand costs (€2,000–€50,000+), timelines, and how to navigate insurance claims effectively.
Typical Costs (2026)
Landlord insurance premiums vary based on property type, rental scenario, and several risk factors. For a detailed comparison of what's included in base policies, see our buildings and contents insurance guide:
| Scenario | Annual Cost |
|---|---|
| Second home (no rentals) | €120–€500/yr (see Second Home guide) |
| Long-let add-ons | +€60–€250/yr (loss of rent, legal defense) |
| Holiday let endorsement | +€80–€300/yr (depending on frequency & region) |
Common Pitfalls to Avoid
Wrong usage declared
Insuring a holiday let as a standard long-let (or vice versa) creates claims risk. Always disclose rental activity.
Underinsuring the Building
Insure for full rebuild cost, not market value. Underinsurance means proportional claim payouts.
Ignoring Holiday Let Requirements
Short-term rentals need specialist policies or endorsements. Standard landlord insurance won't cover holiday lets.
No loss-of-rent protection
One claim can wipe out a season's income. Loss-of-rent cover (6-12 months) often pays for itself.
Skipping Legal Expenses Cover
Tenant evictions can cost €3,000-10,000 in legal fees. This optional cover often pays for itself.
Getting Your Landlord Insurance
We specialize in landlord insurance for expat property owners in Spain. Our English-speaking team compares policies from leading Spanish insurers to find comprehensive coverage at competitive rates.
What we need:
- Property address and type (apartment, villa, etc.)
- Year built and approximate rebuild value
- Rental type (long-term, holiday let, or both)
- Current or expected rental income
- Any existing claims history
Response time: Same business day. Most quotes ready within 24 hours.
Expert reviewed
Written and reviewed by licensed insurance agents Maya Kallio and Marco Elsinger, who have helped over 15,000 expats in Spain since 2012.
Maya Kallio
Licensed Insurance Agent
Since 2012
Marco Elsinger
Licensed Insurance Agent
10+ years
Languages: English, Finnish, Spanish, German
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