Extenuating circumstances policy puts 100% of cost on hosts: please speak out

[Ineke46]

Hi I'm a super host with a strict cancellation policy who just lost $4k when a guest canceled a Thanksgiving trip at the last minute due to a positive COVID test result. I had no idea that policy was even in place and am totally shocked that Airbnb would make the hosts bear 100% of the cost for a guest getting sick--especially when guests may choose to have a higher risk by being unvaccinated but then still get a refund. Also the extenuating circumstance policy is supposed to be for unforeseeable events but surely getting sick from COVID is as foreseeable at this point as getting sick from the flu? 

I'm torn because I don't want to lose Airbnb as a platform but I also can't afford to lose large bookings at the last minute as I rely on the income for expenses like my mortgage. 

Does anyone have any ideas for how to get Airbnb to hear hosts? All I got was an email saying I could provide feedback through their airbnb.com/help/feedback form. I hope more hosts will speak out. There are lots of other ways Airbnb could handle this. Like providing travelers with options for COVID insurance or giving hosts the option to provide refunds for positive tests in their cancellation policies, and then the guest could decide whether to book or not. But their current way of handling it is just to require hosts to absorb any costs/lost revenue. 

[Ineke46]

Right. I actually state I offer full refunds in case of a travel restriction. But guests have a chance to insure themselves for COVID and when they don't, it's hosts who pay. That doesn't make sense. We don't have an option for host insurance. 

[Lisa723]

@Ineke46 well-- one way to protect yourself (somewhat) is to accept bookings only from vaccinated guests.

But still the point stands that as an Airbnb host you are effectively required to provide travel insurance and you should build this into your pricing.

[Branka-and-Silvia0]

@Ineke46  unfortunately, there is no way you can protect yourself except to set up a very short max stay so in case of a cancelation you will not lose a few weeks' incomes but only a few nights.

And btw I agree with you, hosts shouldn't be the only insurer

[Lisa6148]

The same thing just happened to me. Cancellation within 24 hours of arrival due to positive covid test. Yes, I feel bad for the guess but I was also counting on the payout and prepped the house. 

I called Airbnb for options and they told me guest would be covered under extenuating circumstances policy. At no point did the specialist I spoke to tell me if this happened I would not receive my payout. I just received a message from another specialist telling me the reservation was cancelled and I would not receive payout. I also searched the policy on their website and it does not clearly state that the resolution is basically the host eats the payout. 

I think requiring insurance make sense but I do not see an option to require this. Am I missing something? Thank you

[Anonymous]

@Lisa6148  it wouldn't be effective in this case. Travel insurers are very well aware of Airbnb's Extenuating Circumstances terms, and they won't pay out a claim if the guests are eligible for a refund from Airbnb (at the host's expense). It's still a good idea for guests to insure their trips against other disruptions, but there's no practical benefit in requiring it as a host.

You can try shortening the maximum length of stay so that no single canncellation represents a major loss.  

[Sarah977]

@Lisa6148  "they told me guest would be covered under extenuating circumstances policy. At no point did the specialist I spoke to tell me if this happened I would not receive my payout. "

What did you think the extenuating circumstances policy meant? Why would a guest cancel under that policy if it didn't give them a refund? I don't quite understand why you thought you'd still get paid.

It's never a good idea to "count on" a payout. Back in March 2020 all hosts had all their bookings cancelled when Covid reared its ugly head. Those who were counting on their reservations to pay their mortgage, etc, were left  in dire straits. 

That's a difference between having a 9-5 job where your employer issues you a salary and being self-employed. And when you add to that that Airbnb handles the money and can decide to refund guests as they choose, it's best not to count your chickens before they're hatched.

[David8419]

I had a similar frustration recently. I was cancelled by the guest within 24 hours of checkin on Dec. 25. The guest first said her flight was cancelled. And after 30 minutes she said her brother was tested positive. I told her unfortunately the cancellation policy applied. She later called Airbnb and told CS that SHE was tested positive, and Airbnb cancelled the reservation citing extenuating circumstances. My question is, if the guest is lying about the situation, how can I or Airbnb find out? And if it's true his brother was tested positive, shall I also cover his brother, or any other relative of her? 

[Ineke46]

I think if anyone in the booking party gets a positive test the guest can cancel and hosts lose out. And I don’t think Airbnb really cares to try to find out if the guest is being honest. I could fake a positive COVID test in 60 seconds with a PDF editor. The biggest issue here is Airbnb leaves hosts with no way to protect themselves because as pointed out earlier even if we ask guests to buy travel insurance the Airbnb policy invalidates the insurance so it is the hosts who bear the entire risk and cost of guests testing positive. 

[Jenny349]

@David8419 

This frustrating EC policy is negatively impacting more and more hosts. All you can do is give @Airbnb your feedback. If enough people report their dissatisfaction, they may pay attention someday. 

[Jenny]

Hi everyone!

I thought you might be interested to know (if you haven't already heard!) that we've announced some changes to the Covid Extenuating Circumstances policy recently:

https://community.withairbnb.com/t5/Airbnb-Updates/Update-to-our-approach-for-guests-sick-with-COVID...

Drop us a line if you have any questions or concerns!

Jenny