The Washington DC Insurance Commissioner is warning residents who rent their homes to people attending the inauguration of President Barack Obama that their homeowners insurance may not cover any losses caused by renters.  The Department of Insurance, Securities and Banking (DISB) issued the warning in light of the number of District residents who intend to rent their homes to the estimated 3-4 million people expected to attend Obama's inaguration on January 20.

"DISB is contacting major insurance companies that underwrite homeowner's insurance to determine how they will adjudicate any claims emerging from rentals during the inauguration," Commissioner Thomas E. Hampton said in a prepared statement. "Most insurance companies may deny claims if the insured do not notify the insurance companies of risk changes in advance."  Hampton suggested that residents contact their insurance providers to find out what coverage may be allowed with renters in the home.

Source: Insurance and Financial Advisor, Volume II, Issue II, January 2009