Do you have insurance?

[Quincy]

Insurance. A simple search will bring up thousands of brokers and providers, though which one should you choose? What is the right one for me, how much will it cost, and is it worth it? Oh, and not to mention the small print!

Those might be a few questions some of us ask ourselves when we're looking for insurance. Personally, I have insurance in place for almost everything. I even took out insurance for my cat (whom some of you may know), which has saved me a lot of costs.

Do you have insurance in place for your home, and what do you look for when getting one? 

I look forward to reading your replies!

Quincy

[Lenore22]

When we bought the property we now list on Airbnb, insurance was a big concern for us, as We'd heard it could be quite costly, or even unavailable in the case of Short-term rentals and certainly for wildfires, which are a major concern in our part of Northern California.

We called our insurance agent and were able to add it (with an str clause) through State Farm. It's about $1100/year (the same price as our property tax) and we account for that cost in setting our nightly rates.

We already maintained a liability umbrella as I have another business and we feel quite fortunate knowing that major damage that won't be covered by Airbnb can be covered by our insurance.

P.S. We have pet insurance on our dog as well in the case of unforeseeable major accidents. It is curious, however, that where many countries have implemented public programs to address cases of extreme loss, the U.S. turns to the private insurance industry...

[MaryAnn234]

Hello we are in Placer county... thank you for your post... we just started the Airbnb also and we were worried incase someone started a fire, etc.   Did you find out that Airbnb does not cover the house if there was a fire or accident?   

Thank you... we plan on talking to our insurance agent also...  

I appreciate your time.   Thanks MaryAnn

[Quincy]

Hi @Lenore22, thanks for sharing this! Insurance can be quite costly, indeed. 

[Marie7775]

Wow!  The insurance is high. 

Insurance protection is a concern and I had not realized that the insurance protection provided by Airbnb does not full cover the host property.  

Thank you for your post.

[Mike-And-Jane0]

@Quincy I honestly believe that anyone doing STR needs proper insurance (and not the joke that is Aircover). I do worry that many hosts are not properly insured and will only discover this when calamity strikes.

[Quincy]

Thanks for your feedback @Mike-And-Jane0

[Amanda660]

I recently sold the last of my long term rentals and now just have our STR with Airbnb. The broker I had my landlord insurance with also arranged holiday let cover for me including buildings, contents, public liability and loss of earnings.  I’ve never had to use it but it helps me sleep

at  night. 

[Quincy]

Hi there @Amanda660, that does bring peace of mind, indeed!

[M199]

@Quincy 

Absolutely, commercial insurance is required in Canada if the host is remote and not living onsite.  If a remote host assumes their regular home insurance covers and an incident or claim occurs, the homeowner personal insurance becomes null and void.  The host is then totally liable.

[Quincy]

Hi @M199, thanks for sharing this. It's very interesting to see how different insurance can be per country.

[Lorna170]

@Quincy   We have insurance for each of our properties, LTR and STR, and it is reviewed and updated every year through our independent insurance agent.  He is very knowledgeable about the different types of insurance that is necessary dependent on the type of property and how it is utilized.  We also have an umbrella policy. 

AirBnB should inform all new hosts that they need to have their own policies.  Too many believe that Aircover is an insurance policy that will protect them from losses and that they do not need STR property insurance.  Unless AirBnB can provide me with a bona fide policy naming me and my property and describing the provisions of the insurance, they should not be touting Aircover.

[Quincy]

Hi there @Lorna170, thanks for sharing your feedback on this! 

[Fe16]

I do have house insurance for my air bnb and due to having some “guests from hell” recently I had to make a claim.  

My insurance company was great but I did have to alter my cover to allow for it being used as an Airbnb. It meant my excess on claims increased. I was more than happy to pay a higher excess after the terrible experience I had. 
A glass door had to be replaced and the lock fixed, and the carpet throughout my property also had to be replaced.
What a nightmare! The property management company I hired to manage it took the booking via Airbnb and all they get is the guest’s name and a phone number. They managed the whole situation so poorly.

Anyway after that awful experience I cancelled my contract and am now managing my place myself with the help of a property manager.

Get insurance. For peace of mind! 

[Michael5047]

Same here!