WHY WILL COVID-19 BANKRUPT HOSTS AROUND THE WORLD?

Michael303
Level 10
New Orleans, LA

WHY WILL COVID-19 BANKRUPT HOSTS AROUND THE WORLD?

COVID-19 WILL BANKRUPT HOSTS AROUND THE WORLD BECAUSE AIRBNB REFUSES TO ACKNOWLEDGE THE EXISTENCE OF TRAVEL INSURANCE!

 

Travel Insurance is easy and inexpensive for Guests to purchase. The lack of travel insurance protection is completely devastating for Hosts!

 

For 3 1/2 years I have been trying to get AirBnB to listen. Well, unfortunately, a global pandemic is going to bankrupt hosts around the world because AirBnB refuses to make legitimate travel insurance available for booking guests.

 

VRBO and HomeAway do such a superior job offering travel insurance to their/ our guests.

 

1. If you drive a car without insurance and get into an "unforeseen" accident, you are responsible, not the person you ran into. If you book a trip without travel insurance and something "unforeseen" happens, you are responsible, not the person who is hosting you. 

 

2. I have to carry liability insurance, flood insurance, homeowners insurance with an added hotel policy on top of that on my building to protect me and my guests for short term rentals. I would carry travel insurance for all my guests if I could... no wait it do?! It is AirBnB's insane policy of refunds?! Hosts are not Insurance companies. 

 

3. I think it's beyond unfortunate for Airbnb, hosts and guests that Airbnb does on hold guest accountable for travel insurance. The simplest way to handle this is to explain travel insurance up front - prior to booking and let guests know it's their responsibility to purchase it or guests will be taking the risk themselves. Travel insurance has existed since the beginning of modern travel. 

 

4. Airbnb Actually Recommends Travel Insurance. (the AirBnB link is blocked by AirBnB) Airbnb offers refunds at the host’s expense. It is completely unacceptable as a policy and puts the hosts in an untenable situation of loss that cannot be recouped for last minute cancellations – which, by the way, is why trip insurance exists.

 

5. Suggestion: if Airbnb wants to act like an insurance company and refund guests their money then charge a fee ($35 – $45 to be competitive with trip insurance companies) for that service.

 

This part of the Airbnb & Host relationship is 100% unfair and 100% unprofessional. Hosts are not Insurance companies. This policy is insane. Travel insurance has existed since the beginning of modern travel.

 

Airbnb is hurting the small business owners who are the reason Airbnb is in business at all. Shame on them for allowing this and for interfering with legitimate trip insurance companies who protect the owners as well as the traveler when situations happen outside of either parties control. Airbnb clearly is not protecting owners and their businesses with this kind of policy.

216 Replies 216

Bob, thank you, we are being slaughtered. 

The arrogance and irresponsibility of AirBnB is maddening.

@Bob39  You are correct sir.

Zivka1
Level 7
Canada

Ok, fellow hosts, I have one potential way we can send a unified message to Airbnb.  If you have Instant Booking on, turn it off.   I turned Instant Booking off on one of my listings several months ago because Airbnb allowed a group of guests to cancel and receive a 100% refund on my ski cabin that had a strict cancellation policy because 'it was snowing at the ski resort or somewhere maybe in the area or somewhere where one of the guests was maybe coming from.'  They were never quite sure about that but they were certain that it was snowing somewhere.

 

However, when I then turned Instant Book off for that property, Airbnb flipped out!  At the top of my Inbox on my mobile app it now says "Do you have all the facts about Instant Book?  Take this 1 minute quiz and test your savvy.'  I get a barrage of emails about how wonderful Instant Book is.  It constantly pops up on the banners when I am on my laptop trying to get me to turn it back on.

 

I have five other properties on Airbnb and I just went out to all of them and turned off Instant Book.  Go to Booking Settings to do this.  To turn Instant Book off you have to go through about five levels of menus to make it as difficult to turn off as possible and at the end they still ask you why you don't want to use Instant Book.  I selected Other Reason and put the following text in the comment box:

 

"Due to Airbnb's extremely unfair Coronavirus Extenuating Circumstances policy of allowing guests to cancel and receive 100% refunds even though I have a strict cancellation policy, I will only be accepting guests that I am certain will not be abusing that policy."

 

I know a lot of you already don't use Instant Book, but turning off Instant Book appears to be one thing that captures Airbnb's attention.  Maybe because of the risk that while the guest is waiting for a host to respond to their booking request the guest might go onto another booking platform and book that same property (since many of us are on multiple platforms) or a similar property and then just come back to Airbnb and cancel their booking request (which they absolutely can do at any time before the host accepts it) and Airbnb loses the guest to another platform.

Ivary0
Level 4
Republic of Indonesia

I have lost $10,773 because of this policy. What makes it even worse, is that several guests actually have travel insurance and would have been reimbursed by their insurance companies. Last year I was affected by the volcanoes erupting and airport being closed.

 

I don't understand why the hosts have to be the insurance backup. Airbnb should offer the guests optional insurance when making reservation. It's the guest's responsibility to have appropriate insurance because hosts cannot insure themselves against cancellations.


Or at least make it 50-50 as a fair start.

100% agreed. They have refunded 4 of my guests that had travel insurance. WHAT?! They are 100% covered with that insurance?! I will be calling legal council on Monday. 

hi, Is this true,

 

 On Brian chesky Airbnb Twitter account several people are posting screenshots that Airbnb giving guest full refund except for the booking fees they are pocketing the booking fees and issuing travel credit

 

 

 

 

I think they are covered but not covered for an epidemic... there is a definite loophole.. 

Lisa600
Level 2
Tidenham, United Kingdom

Hi everyone, woken up this morning still in a state of disbelief about Airbnb's action!  I've been keeping a track of Airbnb corona virus updates. However I only realised that they changed their EC policy 24 hours after they did and only when guests started emailing me in a bit of a blind panic and as a result of the emails they had received from the company. Not informing Hosts directly before contacting guests and confusing guests???. Neither act appears community minded. 

 

With regard the  EC policy it states clearly STILL in the Airbnb policy (in the guest section https://www.airbnb.co.uk/help/article/1320/what-if-i-need-to-cancel-because-of-an-emergency-or-unavo... )

that they will take advice from local authorities and the WHO when taking decision on what constitutes extenuating circumstances and allowing cancellation without guests having to provide proof. And they state that their team will still review each individual case to confirm they are directly affected.

 

"Circumstances that require special review

There’s no required documentation for these circumstances, but our specialised team will review each case to confirm that you’re directly affected.

 

Epidemic disease or illness that suddenly affects a region or an entire group of people. This doesn’t include existing diseases that are associated with an area – for example, malaria in Thailand or dengue fever in Hawaii. Any updates to our policy regarding the outbreak of a disease, and the scope of policy application, will be determined based on announcements by the World Health Organisation and local authorities" 

 

In the UK where we are based there has been NO local  authority policy introduced for social distancing  at present- only  a containment strategy, we are at delay - which consists of introducing stringent cleaning regimes and as of yet no ban on larger gatherings.

The WHO at the present time state on their website -

 

"In general, evidence shows that restricting the movement of people and goods during public health emergencies is INEFFECTIVE in most situations and may divert resources from other interventions. Furthermore, restrictions may interrupt needed aid and technical support, may disrupt businesses, and may HAVE NEGATIVE SOCIAL AND ECONOMIC effects on the affected countries. However, in certain circumstances, measures that restrict the movement of people may prove temporarily useful, such as in settings with few international connections and limited response capacities"  At leastThe WHO are mindful of the negative economic impact. Great to have this all on line, great ammunition when hosts sue Airbnb for breach of hosts cancellation  terms and contracts.

 

https://www.who.int/news-room/articles-detail/updated-who-recommendations-for-international-traffic-...

 

I've been trying to be mindful of  my coaching training which is  to focus on the solution and not the problem. So yesterday we spent most of the day emailing guests due to arrive in the next month who have emailed considering cancelling. So far one has moved their booking to October, the rest we are waiting to hear their response to our replies letting them know we are in a remote area and what precautions we are taking to ensure they have a safe trip and current WHO and government advice.

We will decide in the coming days wether to preempt the possibility that Airbnb will extend their extenuating circumstances policy  for May and onwards and get in touch with May's guests in advance of any Airbnb communication going on again without our  knowledge. 

 

I've had some really frustrating experiences with Airbnb of late. They updated their site and in the process lost my listing. Guest breakages which they offered to pay for, it was approved on the site and Airbnb have still failed to collect the money. Finding out that they have changed our cancellation policies and are also are not actually providing guests a 100% refund is enough for me to say enough is enough.  I'd already set up a listing with  homeaway and other platforms and was debating wether to make it live and move away from Airbnb.  My focus over the next few days is ensure that the property is listed as many places as possible and develop my business away from Airbnb so eventually I can close the account down.  Continue to contact future guests and keep a constructive dialogue going,  providing them with up to date local information and recommendations being set by the WHO, CDC,  and ECDC.

 

If anyone else has found any other useful ways to deal with the current situation, be happy to hear them.

 

I feel for you all, keep focussed and lets keep sharing information to help each other through a challenging time 

Best Wishes

Lisa

Right, this all hosts should do who has to live from this Business. They forget that there always has to be an supply for a demand. Airbnb is an OTA, but they see themselves as something higher.

Adriano78
Level 10
Seville, Spain

@Michael303 @April161 I am almost sure that the date of April 14th is only a start, on April 14th we will have another press release from airbnb which will extend this date. I am almost sure hosts will lose all reservations money  for April and May.

"why does Airbnb not offer insurance to the hosts in case something like this happens? " because for airbnb the insurance travel company is the host!

 

What is most scandalous is that airbnb incites people to cancel reservations by sending them e-mails saying that they will be refunded 100%.
Airbnb is running advertising campaigns in newspapers in Spain saying that people can cancel and will be 100% refunded by Airbnb !!!!! what airbnb forget to say is that it is not airbnb that refunds! Airbnb steals guest money to refund hosts

 

this morning I am very upset, the only one I hope is that Airbnb goes bankrupt

 

 

Incredible. They act as saviors at the host's expense. That is their marketing.

@Simon198 We are getting stabbed in the back by a “friend” with a self-righteous smile on their face. 

Adriano78
Level 10
Seville, Spain

@Ivary0really sorry for this big money lost.

 

here in Europe there is a known fraud, host is refunded 100% by Airbnb and after they also request a refund from their travel insurance by providing an invoice with the amount paid before cancellation.

So guests are double refunded!

@Adriano78 I personally have had five guests cancel with full refunds that had travel insurance. It is in our Airbnb Messages thread along with their travel insurance provider and policy number. 

@Michael303  so i suppose this guest now they gonna try also to be refunded by the insurance like in Europe,