Airbnb Host Protection Insurance Review- Pro’s & Con’s

Introduction to Airbnb Insurance

Airbnb insurance is used for people that take advantage of the popular home sharing service that is called Airbnb.  This service offers people the opportunity to stay in their home, sometimes just a room, for a set price.  These offers are on an available basis and the traveler is invited to use the hosts home for short term and sometimes long term use for a fee.

Airbnb insurance is offered to those people that list their homes for rent and the insurance, which is called “Host Protection Insurance,” is free of charge for the host.  This insurance is used to cover some types of damages but it does not cover all of the damages that could happen inside the home.

Coverage

Airbnb Insurance, or Airbnb Host Protection Insurance covers liability coverage for up to $1 million dollars for property damage and for bodily injury on the hosts property.  If a guest falls inside the home of the Airbnb host, the Host Protection Insurance would cover the guest if he or she would file a lawsuit against the host.  Also, if the guest is injured on site, at a gym, or outside on the sidewalk, this type of injury or lawsuit would also be covered.

Airbnb Insurance also offers what they call, third party liability coverage.  This type of coverage happens when the guest does something to someone else visiting the home such as dropping a plate on their foot and then the blame returns to the property owner or the host.  When this happens, the third-party damage is also covered under the insurance.

Damage to the home is covered under the Airbnb Host Protection Insurance, such as damage to the physical structure or inside the home.  The insurance does not cover the items that belong to the host or items that are left in the home such as clothing, jewelry, furniture, electronics or other items that belong to the host.

The Airbnb Host Protection Insurance covers many different damages, but it does not cover everything such as personal property.  If the host has expensive art or personal belongings such as a watch or a computer, this is not covered under the insurance and it will be up to the host to replace these items.  Furniture and dishes and other household items are also considered personal property and they are not covered by this insurance. 

Airbnb Host Protection Insurance does not cover damages that are caused by natural disasters.  If an earthquake happens or if a flood comes, the property damage is not covered rather a guest is using the property or not.

Airbnb Host Protection Insurance is different from country to country and from state to state.  The Airbnb’s Host Protection Insurance only has coverage in sixteen countries and differs depending on what state the host live in.

In New York and in the state of Illinois, Airbnb’s Host Protection Insurance will only cover up to $1 million dollars per host in a year, but in the other 48 states offer $1 million-dollar coverage, per year, and it cannot go over $10 million dollars total.

Airbnb Host Protection does not cover protection for aircraft, vehicles, assault and battery, drywall damage or injury from drywall that was manufactured or has any materials that were made or exported from China, loss or damage from communicable diseases, electronic data damages,  damages purposefully done by the guest, fungus or bacteria, damages caused by anyone that is intoxicated or anyone that provided alcohol to a person under the legal drinking age, nuclear risks, personal and advertising risks, pollution damages, damages from products that are on recall, sexual assault, lead or asbestos injury, watercraft injury, war damage or workers compensation injuries.

Many uses of Airbnb Host Protection Insurance complain that their policy oftentimes does not cover their short-term rental property.  This is because Airbnb is considered business and business activity is most of the time denied when it comes to insurance. 

Other people complain that using Airbnb Host Protection Insurance is something that can backfire on the host.  If there is a small injury, it is likely that the host will receive monetary reimbursement, but many have found that when they have filed for large claims that their claims have been denied or that they have had a hard time getting their claims to be reimbursed.  Some Airbnb Host Protection Insurance customers worry that if their home gets broken in to while a guest is there that the Host Protection Insurance will not cover the claim and that they take a huge risk of being sued for damages.

Many Airbnb hosts refuse to purchase the Airbnb Host Protection Insurance because it does not cover property loss or damage to property that is located inside the home.  These types of loses are not covered under this insurance and this can amount to large bills and replacing high end items throughout the home, depending on what kind of guests rent out the home.

Airbnb Host Protection Insurance also does not cover property damage from mol or other pollutants, damage that is done purposefully and if the host is not paid, this is not covered by the insurance plan either.

Other customers of Airbnb Host Protection Insurance love the insurance and they feel that the cost of the insurance is cheap compared to other insurances.  With the risk of damages to fire, theft and property damage, many Airbnb hosts feel that there is not a better insurance that is available on the market that can cover these kinds of losses like Airbnb Host Protection Insurance does.

When host Airbnb look for insurance, many insurances do not provide protection of the home in the case of personal damages or even in the case of injury of the renter.  This is one reason that many of the hosts suggest getting insurance through Airbnb Host Protection Insurance because they realize that this is considered a business and they provide protection anyways, even if it is not exactly what the host is looking for.

Many hosts found that dealing with Airbnb Host Protection Insurance is easy and comforting.  If there is a problem, a claim adjuster comes to the home or asks for pictures that the host will provide.  During this time, the host is given a list of eligible coverage and if their damage is covered, then Airbnb Host Protection gets the claim filed quickly and gets the claim filled fast.

Some of the Airbnb hosts felt that the insurance was not clear to understand, and they felt that the policy was tricky and needed to be revamped for people that were not lawyers or business majors.  They felt that the policies were helpful but at the same time confusing and hard for the host to understand.

Conclusion

Overall, Airbnb Host Protection Insurance seems to be the best insurance for those that are listing their homes on the Airbnb website.  Even though the insurance does not provide the exact coverage that every host is looking for, many of the other insurance agencies will not cover anything in the home if it is considered to be used as a business.  In order to get insurance that covers businesses, the host must either choose to use Airbnb Host Protection Insurance, or they can get business insurance that is much costlier than what Airbnb Host Protection Insurance offers.  The fact that the Airbnb Host Protection Insurance is offered when someone puts their house on the website to rent, the host does not seem to be losing out with this deal. 

The coverage does not cover everything, but it covers a variety of major issues that could arise when renting out a home to strangers.  Since liability and bodily coverage is one of the major things that the host is hoping to cover, Airbnb Host Protection Insurance has that covered.  This coverage can be helpful in the light of an accident on the property or if the renter becomes injured by something at the home or if a third-party person is injured while visiting the home. 

Airbnb Host Protection Insurance works hard to make claims work.  They suggest that the host contacts the guest and they allow issues to be handled through their Resolution center, where claims are oftentimes solved without having to file an actual claim.  But, in the case that the resolution does not happen, guests are asked to gather information and documentation of the damages including photographs, evidence or receipts of the damage, proof of ownership of the property and other documentation that can be sent to the claim’s sender.  The claim will then be handled by a host of agents that work for Airbnb Host Protection Insurance.

Airbnb Host Protection Insurance makes it easy to file a claim by offering onsite information about how to get started and how to file a claim.  The site allows the host to create an account and log in to speak to customer service or a third-party claims administrator.  This makes filing a claim easy and gives the host peace of mind when renting out his or her home. 

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