Homeowners' Insurance - Help!

[Anonymous]

I have been setting up my home to rent two bedrooms through AirBnB.

Today I talked to my insurance company about adding any coverage that would be needed for this use, and was unpleasantly surprised to find out that if I do AirBnB, They Will Not Cover Me At All.  They assured me that since my policy had just renewed I would still be covered for almost a year, but that they would not renew me, and they would not pay claims related to AirBnB.

They were also unable to provide me with any suggestions of companies that Would cover my home, and so far I have not been able to turn anyone up.

I searched the user forums, and found that this appears to be a fairly common problem, and that there are numerous horror stories of people having their insurance cancelled after just -asking- about AirBnB.  A few of them appear to have lost their mortgage as a result.  The only suggestions I saw were in Australia, New Zealand, and Canada, which does not help me much in the United States.

I called AirBnB support (after considerable effort finding a phone number), and was informed by the agent that she "Never heard of that kind of a problem before". Apparently, she does not read the community forums.  The agent promised to escalate the question to her supervisor, but I have heard nothing yet.

Needless to say, I want to get this taken care of, since it appears that there is a reasonable chance of losing my home over it.

Any suggestions would be appreciated.

[Sandy153]

Contact your agent and ask them to seek out a Commercial Bed and Breakfast policy underwritten by Lloyds of London. This is the only insurance I could find to cover our home here in CT.

[Alice506]

---

@Kathleen87 wrote:

Thanks Lois n Darryl, 

I have talked to Proper and they may be able to insure me but they have yet to tie up loose ends with their underwritter, Lloyds of London. They seem to be a good choice for people who rent a remote cottage but  I primarliy rent to guests in my home.   They have not been comfortable with that rental situation in the past but are working with Lloyds to come up with a policy that would fit my need.  I agree they seem to offer a comprehensive policy.   They told me  they would know for sure in June and would get back to me then. Apparently they have a list of 500 potential airbnb clients to call.

I will let this community know if it works out. 

---

[Kathleen87]

Proper has been promising this for years.  I stopped waiting a year ago.  I found insurance with Vermont Mutual but I hear there are other companies coming on to the market.  

Kathleen in VT

[Alice506]

I had Proper, very high priced. Geico bundled my auto policy and provide good basic homeowners   coverage with a business with excellent liability. Umbrella,for less than half of all other quotes.  Major insurance companies have finally figured out it’s a good deal and are getting into the market.  State Farm is also competitive.  

[Theresa265]

How did you approach them?  Do you rent a whole home or just a room?  I'm freaking out over this insurance thing LOL.  I have Geico for my cars already.  They just gave you homeowners with a business umbrella? 

[Sean140]

Alice I can definitely help you with your insurance.  Please google me to get my contact info if you’re interested.  Sean F Murphy Insurance Agency Worth IL 

[Lia---Garry0]

@Lois-and-Darryl0-- Proper does cover 2nd homes and seperate cottages, even if they are on your property with your primary residence ... I talked to a Proper agent and they do not cover renting rooms within your primary residence if there are shared spaces between guests and guests or hosts and guests!

[Alice506]

Lois and Darryl

Did you read the reviews from a host that had to  retain a lawyer to receive adequate compensation for their loss.  Proper Insurance had an answer when I asked about that very bad review.  “Had the insured accepted their first offer , and been patient, they would have had a better outcome. “

Check our reviews for Proper Insurance.  

[Rio7]

Thanks Suzanne, but I am in Canada, this company does not cover Canada. Anyone else know of something in Canada? Thanks in advance.

[Susanne48]

Sorry Airbnb hosts, but this website no longer exists.  Peers Insurance is out of business.  I was able to get Lloyd’s of London insurance thru insurance agent **.  His number is ‭[Hidden]

**[To contact each other, you can use the Direct Messaging system here in the Community Center - hover over the post profile photo and click 'Send Message'].

[L2]

Susanne48, can you tell me if this insurance has worked well for you?

[Ron28]

I had to buy landlord insurance. It costs more, but pays for itself with rentals.  Some carriers don't offer it. In my area, Allstate covered me.

All the best,

Ron

[Anonymous]

Found that Farmers' will cover me here.  Thank you.

[Randolph1]

Hey William 

is farmers providing an umbrella policy for you ???? 

And Did you  have to inform you main insurance company .??

[Michael-and-Isabelle0]

Hi William,

    I echo the line of questioning above. Extension insurance is not helpful if my primary policy still gets cancelled because Airbnb type rentals violate its policy "Terms and Agreements". Does Farmers offer a primary policy that is compatable with Airbnb renting (and Airbnb's "host" insurance and/or an extension insurance packet like peers.org)?

   Hard to believe this critical question wouldn't have already been handled given the tens of thousands currently using Airbnb!

         ~ Michael