Your policy will set out the kind of accommodation that is covered.  Some insurers limit temporary accommodation cover to rental properties, hotels and motels.  Other insurers may cover things like the purchase of a caravan or cabin, or paying friends and family for short-term board. If payments are made to your family members, they may have reporting obligations to Work and Income.
If you own a holiday home that you normally rent out, and are using it as temporary accommodation, some insurers may still pay you a temporary accommodation allowance.  You’ll have to show that you’re losing out on the rental income of the holiday home because you’re using it as temporary accommodation for yourself.  You won’t be able to claim this if you’re already claiming for lost rent under your landlord insurance policy, though, so it’s worth checking which policy would give you a better deal.