Do you have additional Homeowners Insurance for your Airbnb?

[Eileen462]

Hello Hosts!

Do you carry extra homeowners insurance coverage to cover your AIRBNB business or a specific business policy?  If so, what does it cover?  Thank you for your replies and likes!   Eileen

[Title updated by Community Manager to make it relevant to the post]

[Mike-And-Jane0]

@Eileen462 We insure the buildings, contents for major losses, and loss of use just because it is standard in the specialist short term rental policy. The buildings cover is critical because even if you believe in Aircover (I don't) a normal policy will often be invalidated if you do STR and so you will not be covered for serious damage such as fires when the property is empty.

[Eileen462]

@Mike-And-Jane0   Thank you Mike and Jane!!

[Lorna170]

@Eileen462  We have always had specific insurance policies for our properties.  Regular home owner's insurance will not cover you for STR or LTR, and AirCover is IMO a joke and should not be relied upon to reimburse you for anything.

Talk to an independent insurance agent and have that agent shop for the best policy available in your location which will properly cover your STR business.  It is up to you to determine what you want in the way of coverage, but at a minimum it should cover the buildings, the furnishings, loss of use and have some liability coverage for injuries, especially if you offer amenities like a spa, pool, firepit or outdoor grill.  It will probably be more expensive than a regular home policy, and you may have an increased deductible.

[Eileen462]

@Lorna170   Thank you Lorna  I was about to listen to the man on the other end of the phone from AIRBNB that told me they cover EVERYTHING.  Smiles,  Eileen

[Kitty-and-Creek0]

@Eileen462 

Yes, you definitely need business insurance. We are also in California. Besides the fact that we are required to have it by the ordinance that our operating permit is issued under;  if any of us here relied on our homeowner's policy for a business claim, the homeowners insurance would not cover, and would be cancelled, per my agent. If we were to have a claim on either our business or our homeowner's, the company would be careful to document which use of the property caused the claim. 

@Lorna170  gave an excellent list, and business liability coverage is absolutely vital.  She mentioned  "amenities like a spa, pool, firepit or outdoor grill"  which do indeed put us at much greater risk of accident and injury. We have none of those, and all open flames  such as campfires/fire pits are wisely forbidden  by our ordinance. Fire insurance is a big one here in the west, so expect the insurance company to inspect your property for both homeowner's and business insurance safety precautions. If business use of your property causes damage, that's where your business policy comes into play.

[Eileen462]

@Kitty-and-Creek0   Thank you so much Kitty and Lorna!