@Anne1045
It's annoying, but I'd wait and cool down for a time before making any hasty decision.
Perhaps it's only a coincidence that you have had two cancellations recently. Maybe it is just a bump in the road and not a trend.
I had something similar two years ago, probably the natural thing is to take a knee jerk reaction and consider going to the strict policy and smash cancelling guests in the reviews. From a guests perspective, they have left money on your table, it might be some comfort rather than a cancellation just outside the full refund zone. If it is a trend you can consider to select a strict policy for protection.
I left my cancellation policy as it were , on moderate, and going forward I find cancellations still fairly rare. They do happen still very occasionally, I should point out in my location there are usually possibilities of last minute bookings to take. No one can tell you if changing policy will affect your booking rates, each place has it's own nuances.
With the review, both sides still have a chance to review, based on a previous airbnb loophole when a cancellation meant no reviews were possible which reflected badly when guests arrived and there was a critical problem and had no chance to warn others with a review - but ludicrous and irrational when guests haven't even seen the place. It's a mockery awarding stars.
There might be valid reasons why a guest cancelled - so for the review it's best to note the facts, ''Guest booked in Jan for 11 August for five nights, cancelled on the day without arriving'' The guest can respond to your review if they wish, with a reason ..or a yarn.