Airbnb Insurance Cover

Airbnb Insurance Cover

Airbnb Insurance Cover

Airbnb insurance cover is a topic that involves a lot of complexity, especially for beginners. The great challenge for Airbnb hosts is that big homeowner’s insurance carriers view short-term rentals as very high risk and they are not offered insurance as a business. Due to this reason, Airbnb has formulated a comprehensive plan offering Airbnb insurance cover to its hosts.

Airbnb Insurance Cover

For some people, insurance is a very tricky subject involving a lot of complexities. Therefore, in this article, we have presented Airbnb Insurance cover in a very simple way.

Airbnb insurance comes in two forms of coverage that protect its hosts from damages: Host Protection insurance and the Host Guarantee. Host Protection insurance acts like a liability policy by covering the costs of injury or property damage claims made against you by third parties, while the Host Guarantee can cover damages that guests inflict on your own property.


Two forms of Insurance:

Airbnb insurance cover provides two types of coverage to its hosts ensuring them protection from damages:

    1. Host Protection Insurance
    2. The Host Guarantee

Host Protection Insurance:

This Airbnb insurance cover scheme is a liability policy ensuring protection to Airbnb hosts and landlords (in case, they are named in a lawsuit) for injury costs or property damage claims — up to $1 million — made against them by third parties.

Host Protection Insurance

In an event where things do not go as planned and a party files a lawsuit or claim against an Airbnb host regarding any physical injury or damage to property during its stay in the Airbnb rental. Now, the good news is that the Airbnb host has access to the Host Protection Insurance offered by Airbnb. This program also covers landlords and homeowner associations in cases where a guest faces an injury during a stay or a guest damages building property and later files a claim against the landlords/homeowner associations. 

Some examples which the host protection scheme covers are as follows:

  1. A guest breaks their leg after falling from the staircase and brings a claim for the injury against the host.
  2. A guest is using an exercise machine that stops suddenly due to a technical fault resulting in an injury to the guest. The guest then files a claim of injury against the host and the landlord.

However, there are certain exceptions to liabilities that are not covered under the program.

Examples include:

  1. Damage of property due to natural reasons like pollution or mould.
  2. Damage or injury resulting from something that is caused intentionally.
  3. Loss of earnings.

Host Guarantee:

This scheme covers damages that guests inflict on the property of the host. As soon as a guest makes a reservation, the Airbnb host falls automatically under the cover of the Host Guarantee Insurance scheme.

Host Gurantee
Host Gurantee

The scheme offers the following protection:

  1. Damage to the property of a host.
  2. All Airbnb listings in all countries.

Here is a summary of instances not covered by the scheme:

  1. Third-party claims of personal injury and those related to property damages. (Already protected under Host Protection Insurance scheme)
  2. Damages to those areas of the building which are not part of the listing itself.
  3. Cash and securities
  4. Damage caused by a pet
  5. Damage resulting from ordinary wear and tear.

Protection up to $1 million per incident is offered by both policies. You get enrolled in these programs automatically whenever a guest makes a reservation at your rental place. However, enrolment comes with an eligibility criterion that requires you to follow your city or state’s laws regarding home-sharing.

Airbnb insurance cover for hosts in very comprehensive. Read the policy requirements thoroughly to understand more about it. Wanna know how does Airbnb Insurance work in Canada, click here to find out.  

Image Credit :