Do You Rent Your Property? Here's What Airbnb Insurance Does and Doesn’t Cover

Currently, many people buy properties with the main objective of putting them up for rent or renting them when they are not using them. Airbnb is the preferred online booking platform, which offers insurance coverage to both its Hosts and Guests through its AirCover program.

Here's a description of what this program does and doesn't cover, and get the additional insurance to cover you as the rental property owner, as well as renters.

What Airbnb Insurance provides for the Host (property owner)

Property damage:

1. Damage a guest does to your property: Structural, Valuables (Artwork). The damage will always be reviewed on a case-by-case basis
2. Unexpected or additional cleaning expenses. (i.e., smoke damage, furniture, cigarette burns)
3. Loss of income. If you need to cancel confirmed Airbnb reservations due to damage caused by a guest.
4. Insured sum up to US$3 million

Host Liability Insurance:

1. It protects you if you are legally liable for physical or material harm a guest suffers during their stay in your Airbnb listing.
2. It covers the costs of investigating such a claim, as well as the costs to defend a formal claim, such as a lawsuit – legal expenses.
3. Coverage limit: US$1 million per property.

What Airbnb insurance does NOT provide for the Host

Property damage:

1. Losses due to natural disasters (Hurricane and Earthquake) and direct damage such as humidity, falling trees, impact of vehicles, etc.
2. Direct damage to property: water leaks, etc.
3. Loss of income from damage to my property other than caused by the guest
4. Replacement of Valuable Items due to theft.
5. Relocation of the guest by evacuation by civil protection orders.

Host Liability Insurance:

1. Civil Liability in Common Areas
2. Civil Liability for Poisoning due to the consumption of food and beverages sold inside the accommodation
3. Contractual Civil Liability. Service providers: Chefs, spas, massages, walks, etc.
4. Civil Liability of its employees and workers in the performance of their duties.

Important Note

Remember that your HOA condo building's master policy covers common areas not covered by Airbnb’s AirCover.

For more information, contact us and we will gladly review your current insurance policy, or if you do not have one, we will design one for you.