Holiday home insurance in Spain: what every owner needs to know
Spain remains one of the most popular destinations in the world for foreign property buyers. Thousands of owners from all corners of the globe have a second home here (a place to escape, an investment, or the home they plan to retire to one day). But a property that sits empty for weeks or months at a time carries a very different set of risks to the home you live in every day, and it is worth understanding this properly before taking out any policy. This guide covers what you need to know: what the law requires, where standard cover falls short, what a good policy includes, and how much it costs to protect your property.
⚖️ Is holiday home insurance in Spain compulsory?
Home insurance is not legally required in Spain for the majority of property owners. Spanish law does not oblige homeowners to take out a buildings or contents policy.
However, there is one important exception: if you have a mortgage on the property, the Real Decreto 716/2009 establishes in its Article 10 the obligation to hold an insurance policy covering fire damage on the mortgaged property.
That said, the fact that it is not compulsory does not make it a good idea to go without. Without cover, any unexpected incident becomes a problem you pay for out of your own pocket.
💡 Good to know
It is also worth knowing that your bank cannot impose its own insurer: you are free to take out cover with whichever provider you choose, as long as the minimum required cover is in place.
🆚 Why standard home insurance isn't enough for a holiday home
Standard home insurance policies are built around the assumption that someone lives in the property most of the time. A holiday home in Spain has different characteristics (extended periods of vacancy, occasional rental use, remote management) that standard policies do not account for:
1️⃣ Most standard policies limit or void cover if the property is left empty for more than 30 to 60 consecutive days, depending on the insurer. For a second home that may sit closed for several months a year, this means losing protection precisely when no one is there to spot a problem early.
2️⃣ Standard home insurance also typically excludes commercial holiday rental use. If you let the property through platforms such as Airbnb or Booking.com, you need a policy that explicitly covers that use. In regions such as Andalusia, the Valencia Community or the Canary Islands (among the most popular destinations for foreign buyers) you are also legally required to hold specific public liability insurance in order to obtain a tourist rental licence.
3️⃣ Additionally, when something goes wrong in a property that is in another country, response time matters. Insurance designed for second homes includes assistance and management services that a standard policy does not provide.
📋 What does holiday home insurance in Spain typically cover?
A holiday home insurance policy includes the standard covers of any home insurance policy, but adds elements specific to this type of property:
- Buildings and contents: the structure of the property (walls, roof, fixed installations, windows) and the items inside (furniture, appliances, personal belongings...). Both covers can be taken out together or separately.
- Water damage, fire and weather events: the most common causes of claims in any property, and the core of any policy. Particularly relevant in coastal areas or regions with variable weather.
- Theft and damage from break-ins: a property that sits empty for long periods carries a different risk profile to a main residence. Holiday home policies cover theft and any damage caused during a break-in attempt.
- Public liability: covers damage that the property or its use may cause to third parties (for exmaple, a neighbour affected by a water leak, or a guest injured on the premises).
- Loss of rental income: if an insured event leaves the property uninhabitable and forces you to cancel bookings, this cover compensates for the rental income lost during the repair period.
- Remote assistance and management: some policies include services such as emergency call-outs, key management or an annual inspection of the property, particularly useful for owners based in another country.
- Protection against illegal occupation: an increasing number of policies include this cover, providing legal assistance and management of the eviction process. We cover this in more detail in the next section.
🛡️ Protecting your property from illegal occupation (okupas)
Illegal occupation of properties is a real issue in Spain. In 2024, the Ministry of the Interior recorded 16,426 reported cases, with Catalonia accounting for more than 40% of the total, followed by Andalusia and the Valencia Community. Second homes, given their extended periods of vacancy, are particularly vulnerable.
The legal landscape has changed significantly. Since 3 April 2025, Ley Orgánica 1/2025 has introduced an accelerated criminal procedure: illegal occupation cases are now processed through fast-track hearings with a maximum resolution period of 15 days. If the occupation is detected within the first 48 hours, security forces can intervene without a court order. This is a significant shift from the previous situation, in which proceedings could drag on for months.
Insurance does not replace the legal framework, but it complements it. When an occupation occurs, costs accumulate quickly: legal fees, court charges, lock replacements, potential damage to the property. Some holiday home policies include specific cover for these expenses, along with legal assistance from the outset. Caser Yavoiyo, for example, incorporates this cover across all its policy levels.
💰 How much does holiday home insurance in Spain cost?
The price of a holiday home insurance policy in Spain depends on several factors: the location of the property, its size, whether it is rented out, and the level of cover chosen. As a reference, the policies analysed for this article range from €106 to €278 per year.
Basic holiday home insurance
| Insurer | Product | Annual price |
|---|---|---|
| Tuio | Propietarios | €106 |
| Occident | Hogar Estándar | €125 |
| Mapfre | Tú Eliges | €129 |
| Caser | Yavoiyo | €190 |
| Fiatc | Basic | €210 |
1️⃣ Tuio Propietarios — €106
The most affordable option on the market for basic cover. Everything is managed digitally (from taking out the policy to reporting a claim) making it particularly practical for owners based outside Spain. Covers fire, water and weather damage, theft and break-in, public liability and 24h digital assistance.
2️⃣ Occident Hogar Estándar — €125
A solid basic policy at a competitive price. Covers fire, water and weather damage, theft and break-in, public liability up to €300,000, legal defence and 24h home assistance. One of the key advantages of Occident is that it offers three policy levels within the same company, making it easy to upgrade cover in the future without switching insurer.
3️⃣ Mapfre Tú Eliges — €129
A modular policy that lets you choose exactly which covers you need. Includes fire and electrical damage, water damage and 24h urgent assistance as standard. A good option for owners who want a competitive price backed by one of the largest insurers in Spain, with offices and agents across the country.
4️⃣ Caser Yavoiyo — €190
In addition to standard covers (fire, water damage, theft, public liability) it includes illegal occupation cover with an antiokupa sensor, a key management service so Caser can attend incidents on your behalf, and an annual inspection or cleaning visit. The price difference over other basic options reflects these exclusive services.
5️⃣ Fiatc Basic — €210
A comprehensive basic policy covering fire, water and weather damage, theft and break-in, public liability, legal defence and a Bricohogar maintenance service included as standard. Particularly suited to owners who prefer to manage their insurance through a trusted intermediary, given Fiatc's extensive network of brokers.
Mid-range holiday home insurance
| Insurer | Product | Annual price |
|---|---|---|
| Occident | Hogar Confort | €163 |
| Mapfre | Familiar | €199 |
1️⃣ Occident Hogar Confort — €163
The best value option at this level. Includes all Estándar covers plus appliance breakdown, pipe unblocking, fridge contents cover, extended aesthetic cover and Bricohogar service. A significant step up from basic cover at a reasonable price difference.
2️⃣ Mapfre Familiar — €199
Builds on the Tú Eliges covers with theft and robbery inside and outside the property, fridge contents cover, appliance repair service and digital protection service. A good option if you are already a Mapfre customer or value the proximity of their national network of offices.
Comprehensive holiday home insurance
| Insurer | Product | Annual price |
|---|---|---|
| Occident | Hogar Óptima | €191 |
| Mapfre | Platino | €266 |
| Fiatc | Plus | €278 |
1️⃣ Occident Hogar Óptima — €191
The most competitively priced comprehensive policy in this selection (and notably cheaper than some basic options from other insurers). Includes all Confort covers with extended limits across the board, plus Bricohogar and appliance repair services. The most balanced option if you want full protection without overpaying.
2️⃣ Mapfre Platino — €266
Mapfre's most complete policy. Includes all Familiar covers plus accidental all-risk cover, full legal defence and tech and digital protection. Aimed at owners who want maximum cover backed by one of Spain's most established insurers.
3️⃣ Fiatc Plus — €278
Fiatc's comprehensive policy, with extended limits across all basic covers, fridge contents cover, jewellery theft cover and total cover up to €300,000. Best suited to owners who manage their insurance through a broker and want the broadest protection available through Fiatc's intermediary network.
ℹ️ How to choose the right holiday home insurance policy for Spain
Choosing a holiday home insurance policy in Spain is not the same as choosing a standard home insurance policy. There are specific criteria worth checking before you sign anything.
- The vacancy period: this is the most important factor. Before committing to any policy, check how many consecutive days the property can sit empty without affecting your cover. Some standard policies cap this at 30 or 60 days; policies designed for second homes do not have this restriction.
- How you use the property: if you rent the property out on a holiday basis, you need a policy that explicitly covers that use. A policy that makes no mention of holiday rental will most likely not cover you when you need it most.
- The language of the policy and customer service: for a foreign owner, handling a claim in a language you do not speak well can be a serious problem. Some insurers offer support in English or other languages; it is worth checking before you commit.
- Remote management: if you live outside Spain, being able to manage everything online (from taking out the policy to reporting a claim) is not a nice-to-have, it is a necessity. Not all insurers are equally set up for this.
- The insured value: it is common to undervalue the property in order to pay a lower premium. If the declared value of the buildings or contents does not reflect reality, any payout in the event of a claim may fall well short of what you need. It is worth taking the time to get the valuation right before you sign.
- The excess: some lower-priced policies include an excess that the owner must cover on each claim. For a second home managed from a distance, where unexpected incidents can be more costly to resolve, this is worth reviewing before making a decision based on price alone.
Protecting a second home in Spain requires more than a standard policy. The circumstances are different (the distance, the periods of vacancy, the possible holiday rental use) and the insurance needs to match those circumstances. With the information in this guide, you have what you need to not take out a policy blindly. The next step is to compare and find the cover that best fits your property and your situation.