Extenuating circumstances policy - Shouldn't travel insurance pay?

[Steve134]

Hi there,

Airbnb is automatically activating the extenuating circumstances policy due to Corona virus in Some regions

This means if I am a host with a strict cancellation policy in one of these regions, then I am the one who loses out.

Shouldn't I keep the money, and the guest claim it back from travel insurance?

In effect, am I, a small business owner, bailing out a multi-national insurance company, and relieving them from their responsibility?

And does airbnb have the right to make this decision for us as hosts?

Steve

[Lisa723]

@Steve134 when you sign up to be an Airbnb host, you thereby agree to provide free travel insurance to all your guests.  😞

[Alex-and-Vaughan0]

Travel insurance is no longer covering cancellations from the Corona virus for new policies. If you choose to travel today you bear the risk yourself.

Unless it's an Airbnb booking, then the host covers the risk!

[Michelle53]

One can purchase CFAR (cancel for any reason) coverage.    It has to be purchased within a certain number of days after purchasing one's initial trip expense e.g. flight or hotel.   Usually in the 14 - 21 day range. 

If one is going to claim on CFAR coverage, one has do that no later than 48 hours before trip departure. 

These policies are generally more expensive than regular trip insurance. In the neighborhood of 40% more, in some cases. Some CFAR policies only pay out a percentage of the trip cost, or a fixed amount.

It's possible the price of these policies is going to rise, as the issuer's risk rises along with increasing cancellations.  It would also pay to carefully read the fine print. 

https://thepointsguy.com/guide/cancel-for-any-reason-trip-insurance/

Flight costs may be reimbursed by an airline - many are relaxing their rules for non-refundable tickets between certain dates and destinations. 

Of course, there are other considerations also - what if the traveller gets sick ? what if there is a quarantine ?    It could be very complex. 

[Ian-And-Anne-Marie0]

@Steve134 

Guests should have travel insurance and Hosts should not be their insurance policy.

I have a thread going in 'Host Circle' about this here: https://community.withairbnb.com/t5/Host-Circle/Bun-Fights-Guest-Insurance-Hosts-providing-travel-in...

Any contributions would be welcome.

@Michelle53 

[Michelle53]

@Ian-And-Anne-Marie0    Thanks for the invite. Purchasing travel insurance is, of course,  voluntary. As a host, I don't think I'd want to be in the insurance business. 

[Ian-And-Anne-Marie0]

@Michelle53 

Thanks Michelle, you contributed some useful information over in the Hosting forum here: https://community.withairbnb.com/t5/Hosting/Extenuating-circumstances-policy-Shouldn-t-travel-insura... .

Maybe something as simple as reminding a guest that travel insurance would be a good idea rather than actually selling something?

I don't think we as hosts would actually 'sell' insurance, but a link to where a competitive rate could be obtained suggested in a welcome message might be considered useful information - the same way that suggesting which online stores deliver to your listing or where fresh croissants can be bought from?

[Anonymous]

@Steve134 The problem is, most insurers aren't going to let you just claim back your losses on an Airbnb cancellation. They'll require you to activate the Extenuating Circumstances process if the booking was eligible. 

[Susan17]

@Anonymous 

...and to compound matters, many CX agents are allowing full refunds - without documentation- that are outwith even the terms of Airbnb''s coroavirus EC policy. Hosts haven't got a leg to stand on. Getting hammered from every possible angle.