Underwriting the rental
How much does landlord insurance cost on a Myrtle Beach rental?
The landlord policy, wind, flood, and the tax that costs more.
By Devin Day, Operations Officer · Reviewed by Tim Nash, Broker-in-Charge · Updated September 7, 2026
A landlord policy on a Myrtle Beach rental costs 15 to 25 percent more than the homeowner policy on the same house. The lender may also require wind and flood.
The short answer
A landlord policy on a Myrtle Beach house costs about $1,700 to $4,400 a year. That is 15 to 25 percent more than the homeowner policy on the same house, which costs about $1,500 to $3,500 here. In Chapter3's files the difference has been 15 to 20 percent. A rental needs the landlord policy instead of a homeowner policy. It also needs wind coverage on most of the coast, and flood coverage where the lender or the zone requires it. Federal flood insurance adds a $250 yearly surcharge on a rental instead of $25, and its premium rises faster. The larger cost is the property tax. A rental is assessed at 6 percent and pays the school operating tax. Its bill is three to four times the bill for the same house as a legal residence. We put all four numbers in the projection before you offer.
What insurance does a rental need?
Three policies. Your lender may require all three: a landlord policy with replacement cost on the building, wind where it is a separate policy, and flood in a high-risk zone.
| Policy | What it covers |
|---|---|
| Landlord policy | The building, your liability if someone is hurt, and lost rent during a covered repair |
| Wind and hail | Storm damage. Often a separate policy on the coast |
| Flood | Rising water. Always a separate policy |
A landlord policy replaces the homeowner policy. A homeowner policy is written for a house you live in. A claim on a rented house can be denied under it.
Check the flood zone for any address at the federal map center. The three coastal policies, explained, with the average premiums here. A short-term rental needs coverage written for short-term use, not a landlord policy. What a short-term rental owner arranges after closing.
How much more does a Myrtle Beach rental cost to insure?
A homeowner policy on a Myrtle Beach house costs about $1,500 to $3,500 a year in the standard market. A landlord policy costs about 25 percent more than the homeowner policy on the same house. In Chapter3's files the difference has been 15 to 20 percent. A landlord policy here therefore costs about $1,700 to $4,400 a year. One state comparison puts it at about $2,000 a year on a $200,000 house and $3,150 on a $350,000 house, statewide. Myrtle Beach prices near the top of the state, so expect the upper part of the range.
| Cost | Home you live in | Rental |
|---|---|---|
| Building policy | Homeowner policy, about $1,500 to $3,500 a year here | Landlord policy, 15 to 25 percent more than the homeowner policy on the same house, about $1,700 to $4,400 |
| Federal flood surcharge | $25 a year | $250 a year |
| Property tax | 4 percent assessment. No school operating tax | 6 percent assessment. Full school operating tax. Three to four times the bill |
The extra on the landlord policy pays for the liability and the lost-rent coverage. Get a quote on the house, not the average: the same house can price a thousand dollars apart at two insurers.
Flood is different. The federal program prices a rental's flood risk the same way it prices a primary home's. It charges a $250 yearly surcharge on a rental instead of $25. It also lets the premium rise faster toward its full-risk price. A rental's flood policy can cost a multiple of what the last owner paid while living there. In Chapter3's files that multiple has been about three.
Ask the seller for the current declarations page and any claims on the house before you offer. Tell the insurer how the house will be used, because the vacancy between tenants changes the price.
What makes insurance so expensive in Myrtle Beach?
Distance to the ocean, roof age, the wind deductible, construction type, and claims on the address. Six ways to lower a coastal premium. Quotes on the same house vary widely here. Shop the landlord policy the same way you shopped the first one.
We help get insurance quotes if you need them.
Tell us the addresses you are looking at. We get the quotes and the tax at the 6 percent rate, and price out a few new investments for you.
Have us run the numbersDo taxes or insurance stop more deals?
Taxes, in Chapter3's files. Insurance on a rental is higher than on a primary home by about a fifth. The property tax is higher by a multiple.
The county assesses a legal residence at 4 percent of value and every other house at 6 percent. A legal residence also pays no school operating tax. Together, the two rules make a rental's bill about three times the legal-residence bill in the unincorporated county. Inside the city of Myrtle Beach it is about four times. The calculator, with the county's millage.
According to a loan officer at our preferred lender, a DSCR loan prices about the same as a conventional investment loan. That holds with strong credit and a coverage ratio of 1.25 to 1.5. The insurance is about the same on either. The tax is the cost that changes when a house becomes a rental. It is the cost that most often ends a deal in our files.
Get insurance quotes before making an offer
Get three quotes before you write the offer, not after the inspection. They are the landlord policy, wind if it is separate, and flood if the zone or the lender requires it. Send the seller's declarations page and the claims history with the quote request.
Lenders require replacement cost coverage on the building, and a flood policy where the map puts the house in a high-risk zone. Most landlord policies include lost rent during a covered repair. Where the first year of insurance shows up at closing.
Buying a rental on the coast?
Tell us the address and how you will use it. We price the insurance and the tax before you offer, and our analyzer includes both in the cash flow.
Let us make it simpleCommon questions
Landlord insurance FAQ
How much does landlord insurance cost in Myrtle Beach?
About $1,700 to $4,400 a year on a single-family house. That is 15 to 25 percent more than the homeowner policy on the same house, which costs about $1,500 to $3,500 here. Get a quote on the address before you offer.
How much more is landlord insurance than homeowners insurance?
The insurance trade body puts it at about 25 percent more. In Chapter3's files it has been 15 to 20 percent more on the same house.
Is flood insurance more expensive on a rental?
The federal program charges a rental a $250 yearly surcharge instead of $25 and lets its premium rise faster toward the full-risk price. In Chapter3's files a rental's flood policy has cost about three times what the owner paid while living there.
Do I need flood insurance on a rental in Myrtle Beach?
If the house is in a high-risk flood zone and the loan is federally backed, yes. Outside those zones it is your choice. Check the zone at the federal map center before you offer.
Why does a rental pay more property tax than a home?
A rental is assessed at 6 percent instead of 4, and it pays the school operating tax that a legal residence does not. Together that is about three times the bill in the unincorporated county and about four times inside the city of Myrtle Beach.
Sources: Insurance Information Institute, renting out your home, FEMA, flood surcharge fact sheet, FEMA flood map center, SC Department of Insurance, Horry County Assessor, Clovered, landlord insurance in South Carolina. Read September 7, 2026. Educational only, not insurance advice. Premiums are quotes on the house, not averages; get them before you offer.
Price the insurance and the tax before you offer.
One call. We get the three quotes and the tax at the 6 percent rate, and put them in the projection.
Call a specialized agent