She should do the talking to Airbnb, @Christina1250 . If you wish to refund her, you can put that statement in the messaging. I have done that for guests when I felt their situation merited it, and it turns out fine. The guest calls in, then you get a call from CS asking whether you are still good with it, and you say yes.
If you choose not to refund, that's fine, too. We have cancellation policies for a reason. The guest had the option of getting travel insurance.