Hi C68,
It seems like you're facing a frustrating situation where Airbnb's policy allows guests to cancel reservations even though your city isn't under evacuation orders or directly affected by fires. The Airbnb Extenuating policy can sometimes feel unfair when you're not in harm's way but still end up absorbing the loss. It's not uncommon for Airbnb to prioritize guest flexibility during such events, and hosts often find themselves in a similar position but this is part of their Terms of Service when we sign up as Host.
It could be helpful to reach out to Airbnb support and explain the specific circumstances of your area, especially if your location is far removed from any direct danger. Sometimes they can offer more clarity or confirm if the guest is really eligible for Extenuating Circumstance policy.
I hope this helps.
All the best,
Upfish Management