Insurance for vacation rental/primary residence hybrid

[Amir Bekhit]

Hello All,

I'm in the process of buying a primary residence. I am also considering renting out part of the residence through airbnb. My question is about how to correctly navigate homeowner's insurance. I am currently paying 5% down and everything will be paid through escrow.  I am afraid that if I start out with a business type homeowner's insurance it would raise flags with the lender and that a higher down payment would be required or issues would arise with the loan (I don't know for sure). Should I just start with a regular homeowner's policy and later switch to a business type policy? This is my first home and I just want to make sure I do this right so that I can rent out a room through airbnb, have proper coverage, and still be ok with my lender. Any advice/pointing in the right direction would be appreciated.

Thanks