Homeowners insurance won’t cover the mother-in-law unit… what gives?

My home insurance companies (Farmers and American Modern) are telling me they won’t cover the mother-in-law unit on my property. The unit has a separate address, which they say requires a separate policy, even though it’s on the same property as my main house. My dad’s old policy with Allstate covered it, but they raised the rate too high for me after I inherited the property, so I had to look for other options.

Google says a mother-in-law unit should be considered an accessory dwelling and covered under a single policy. Can anyone explain why these companies are saying otherwise?

Is it a rental? You left out some details that might make a difference.

Sky said:
Is it a rental? You left out some details that might make a difference.

Yes, it’s being rented out now. My dad told me he used to call it a guesthouse, and someone he knew lived there, but it wasn’t really family.

Which state are you in?

Vann said:
Which state are you in?

Georgia