New research has suggested that the renewed trend for holiday house swapping could leave homeowners out of pocket if they fail to insure their possessions and property adequately.
The research by Lloyds found that 1.6 million UK holidaymakers plan to do a house swap this year, which is twice the amount that did so last year. Half of these state their reason for doing so is to save money. Others say they are doing it because it is flexible and child-friendly.
However, the research also found that 60 per cent of people taking part in a house swap do not tell their insurer. Lloyds warns that not doing so could invalidate their policy, leaving them out of pocket should something go wrong during the swap.
Lloyds is urging home swappers to take insurance seriously, warning that 24 per cent of house swaps involve property damage of some kind. This year it is predicted that house swap homes will incur £100 million worth of damage.
Paul Spillane, Head of Home Claims at Lloyds TSB Insurance, predicts that house-swapping will be "the trend" of 2011. He is encouraging people to register with an official home swap site to organise their holiday and to notify their insurer if the home swap goes ahead.
