Insurance is Canceling due to Airbnb - What to do?

[Susie57]

When starting Airbnb my insurance comppany, Travelers, was aware that the room would have short term rentals/Airbnb. 

In December, there was a faucet pipe that had erupted causing water to flood parts of the house and down to my bottom unit where there is Airbnb. I filed a claim with insurance since I needed to have all the water dried out, new drywall put up, etc.  

Now I received a message stating, "Thank you for your email correspondence. We appreciate the information
provided; however, based off of the AirBnB exposure we unable to
continue coverage on the home. We will send a notice to by postal mail
providing a future cancellation date."

What are my options for this? Airbnb was specified and my policy covers short term rentals. I am asking for more details on their end regarding exactly on what grounds they've to no longer provide coverage. 

In addition, anyone in the Washington(Seattle) area have recommendations for insurance that covers Airbnb ?

[Thomas746]

I've been researching exactly what you are up against.  It comes down to this: if you own a home and are going to host using Airbnb or any other platform, your insurance company, your homeowners liability etc insurance, will not cover you.  I've spoken with Allstate, State Farm, CIG and others.  They have policies for Bed and Breakfast and hotels but the Airbnb platform, everyone I've spoken to, has said no.  But through all that I have found a number of companies who do insure if you have, as I do, a duplex, using one side to live in and the other Airbnb, or a room in your home.  Comet, Slice, Proper, CBIZ, American Modern.  There are others.  Here is a link to a list of top insurance companies: https://rentalsunited.com/blog/vacation-rental-insurance/

Basically, as I see it, with Slice it's only used when you have a guest.  Call Slice if there is a problem.  If there is an earthquake or flood, no.  Point is, if your carrier can refuse to cover you for the earthquake or the flood, or anything else, because you were breaking the contract by having someone living there who was not staying for a year or more, a lease.  I'm talking about an entire place, guest house, apartment, duplex etc.  Bottom line, if you have a guest house or you have a duplex like me or some other arrangement, you want to go for the extra money for the insurance.  It is more expensive but it is worth it.  There is never a question about whether you are going to have a company take advantage of the fine print and hang you out to dry.   Last note: check reviews on all the companies before you commit to changing from your current carrier.  Good luck.  

Thomas  

[Dawn205]

I was recently informed by State Farm Insurance that I would be cancelled if I continued to host Airbnb.  I'm not cancelled yet, but I can't host. I feel your pain.