Oct 12, 2025
Home Insurance and Subletting – Everything You Need to Know Before Renting Out Your Place
Thinking of subletting your home while you’re away? Learn how subletting affects your home insurance, what risks are involved, and how to stay protected.
What Does Subletting Actually Mean
Subletting means renting out your home to another person (a subtenant) while you still hold the main lease. Unlike a lease transfer, you don’t give up your rights to the property, and you remain responsible for rent payments and potential damages.
Even if you’re not living in the unit, you’re still legally the tenant. That means:
- You must ensure rent is paid on time.
- You are responsible for any damages caused by the subtenant.
- Your landlord must approve the sublet agreement.
There are generally two types of sublets — long-term and short-term, and each affects your home insurance differently.
Long-Term Subletting and Your Home Insurance
A long-term sublet means you plan to come back home later. While it can help you manage expenses while away, it also brings insurance considerations.
👉 Important: Your current home insurance doesn’t automatically cover your subtenant.
Home insurance policies apply only to the person named in the contract, not to everyone living there.
Here’s what you should do:
- Inform your insurer about the sublet.
- The insurance provider may reassess the risk level.
- The subtenant must have their own tenant insurance policy.
In Quebec, you must also notify your landlord officially by submitting a sublease notice.
Short-Term Subletting (Airbnb, Vrbo, etc.)
Renting out your home through platforms like Airbnb or Vrbo is also considered subletting — even if it’s just for a few days.
Before listing your property:
- Check local regulations — some cities restrict short-term rentals.
- Know that most home insurance policies don’t cover rentals exceeding 30 days per year.
- Continuous short-term rentals may be classified as a business activity, which standard insurance doesn’t cover.
Your insurer may require you to:
- Add a short-term rental endorsement to your policy.
- Get additional coverage for guest-related damages or liability if someone is injured during their stay.
Some platforms offer host protection, but it’s only a secondary coverage — not a substitute for your own home insurance.
Legal Responsibilities and Tenant Protection
The Tribunal administratif du logement closely monitors subletting and lease transfers.
Contrary to common belief, tenants can’t simply break a lease by giving three months’ notice — rules differ based on local laws.
Before subletting, consult your trusted insurance advisor to ensure you don’t end up dealing with an uninsured subtenant.
Need Advice About Home Insurance
At Bonjour Assurance, we help you make smart insurance choices.
Whether you plan to sublet or need new home coverage, our advisors can guide you through the process and ensure you’re protected.
👉 Get a Home Insurance Quote
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