Vacation home insurance is about protecting both a lifestyle asset and a serious financial investment. A second home may be a place of rest and recreation, but from an insurer’s perspective it is often a property with elevated vacancy, weather, location, and liability risks. Does Renters Insurance Cover Pet Damage to Carpet. Most of these mistakes are preventable. They usually come from treating a second home like a simpler version of a primary residence, when in reality it often needs more customized planning, not less.