Hello hosts,Just a quick question. I've had a guest request...
Hello hosts,Just a quick question. I've had a guest request a tax invoice for business purposes to on-charge his client. Th...
We recently took a booking on a 4 bedroom house that we manage, from a guest who said he was coming up to the coast and wanted somewhere quiet for him and his friend to stay. We rented him the house for the one night (February 15-16).
After check out on Sunday February 16th, our cleaners phoned me to say that there was extensive damage at the house and that I needed to come there immediately. It was obvious straight away that they hadn't had a quiet night, but had a substantial party. Talking with neighbours they said that there were around 100 people there and at one stage 7 police cars, regarding the noise and damage complaints.
Damage included smashing a brand new dining table until it was flat, pulling legs off dining chairs, rugs stained, polished wooden floor boards damaged, walls marked, crockery/cutlery/glassware smashed or stolen, kitchen cupboard broken, the asbestos back fence kicked down (large section of it), garden lights pulled out and smashed, BBQ vandalised, downstairs outdoor table broken, outdoor chair smashed, items stolen / broken, towels and linen thrown in the rubbish bin/left in garage stained and damaged, stealing of garage remote controls etc.
Obviously this was a huge shock. We had two cleaners there, who organised for a further two to join them. With the 4 cleaners and myself and my wife, the six of us worked from 12.00 midday until the house, yard, footpath and laneway were clean and presentable at 6.00 pm. This involved buying a new table, bringing in cutlery/crockery/glassware, removing all rugs, cleaning, picking up all glass and a hundred other things.
We had a incoming group of 6 guests arriving that same day at 3.00 pm from Indonesia for a week. I messaged the guests to tell them of the problem and that we were working to have the house cleaned and ready for them. I messaged them again twice more, with finally at 6.00 pm to say that the house was ready and they could then check in. They were wonderful guests and very understanding of our situation. Incidentally they left the house in an immaculate condition when they checked out a week later. They allowed me to have the carpet cleaners in the next morning to clean the rugs etc.
I lodged a damage claim with Airbnb before 6.00 pm (whilst my cleaners were doing the final clean up) on that same day Sunday February 16th. I then contacted Airbnb Support on:
- Tuesday February 18th - 3.19 pm (Airbnb Support phone call)
- Thursday February 20th - lodged a more extensive claim
- Sunday February 23rd - 8.11 a.m. (Airbnb Support phone call)
- Monday February24th - 9.16 am (Airbnb Support phone call)
- Tuesday February 25th - 4.10 pm (Airbnb Support phone call)
- Tuesday February 25th - 4.10 pm (Airbnb Support phone call)
Airbnb Support were courteous, helpful and said that this was covered by another area of Airbnb and that they had seen that there was an active case and that they would mark it as urgent and someone should contact me within 24-48 hours.
Obviously this was a huge issue with a damage bill of around $20,000, with the property owners wanting to know what Airbnb was going to do about it. Of most immediate concern was that the property back fence was asbestos. The asbestos fence had been kicked down and lay next to and on the laneway in pieces, exposed to the elements and pedestrians alike. I politely stressed to Airbnb Support the urgency of the back fence removal etc as this was a walkway for children going to school, as well as the local neighbourhood and the dangers of this exposed asbestos. Airbnb Support were very understanding and could appreciate the problem. They passed it on marked as urgent for the relevant section of Airbnb.
I heard back from the relevant section of Airbnb on February 25th denying our claim for this damage by guests. They said:
"Hi Len,
Thank you for contacting us. We’re very sorry to hear of this incident.
For cases to be eligible under our Host Guarantee hosts must notify us of the incident within the earliest of: 14 days of checkout or 24 hours before your next guest checks in. This is a strict policy requirement and is in place to ensure timely and accurate resolutions for both hosts and guests. You are free to pursue reimbursement from your guest directly. However, per this requirement, this case is not eligible for reimbursement."
I contacted Airbnb about this extensive damage on the day of checkout, within 14 days and then worked overtime to ensure that the property would be ready for the incoming guests. No host wants to cancel or inconvenience any guest. We were very proud of our cleaners and all of our work to ensure that the incoming guests were not left stranded.
I was floored by the response and assumed that somehow they had made a simple mistake with dates. I followed up for clarification and have not been able to get anything except other copies of the message above. It seems that they are denying the claim as we didn't notify them more than 24 hours before incoming guests arrived. If this is the case virtually no claim would ever been able to be made under the Host Guarantee.
As a manager of over 30 properties, that we only have with Airbnb, we tell all of our owners of the Airbnb Host Guarantee and that they can rely on Airbnb to honour their commitment. All property owners have that fear, however remote, that one day, one set of guests, may wreck or cause extensive damage to their property. The Airbnb $1 million guarantee and the trust that we all give that guarantee, puts their minds at rest.
My questions
1. Has anyone ever heard of this? Being excluded and a claim disallowed because we strived to accommodate incoming guests?
2. I can't get anyone in the relevant area of Airbnb to reply to me and work with me to resolve this issue. How do I overcome this when they dont reply, and you cant ring them to discuss it?
3. I have lodged messages asking for this to be reviewed and to be able to lodge an appeal, as is our right under the Host Guarantee. No one has replied to this. Am I being delayed so that the appeal will be void, as it is would be outside the date range of time allowed to appeal?
3. My wonderful property owners, who yes have been very supportive and are super patient are wanting to go super nova on this and make it a HUGE media issue here in Australia. The press, especially TV current affair shows love these Airbnb damage stories, let alone one where Airbnb wont stand behind the Host Guarantee. I have asked them for their patience, and that Airbnb will resolve the matter. Unfortunately their patience is coming to an end and really who can blame them. I do not under any circumstances wish them to go public and damage the Airbnb brand, or our property hosting with Airbnb, but can see their frustration with the. lack of options. What can be done?
4. I emailed Brian Chesky to his email address. I appreciate his oft reported comment that Airbnb is built on trust, asking him to examine this and have not heard back from him either. Surely this is an issue of trust, that needs to be resolved immediately.
Any comments, suggestions etc would be greatly appreciated.
Yes I am at my wits end with this, as believe we have done everything correctly and strived to do the best by the property owners, incoming guests and Airbnb. Your assistance would be most appreciated.
thanks
Len
@Len37, I am so sorry that you experienced this. It is truly unbelievable that anyone, no matter their age, would do this to someone else's home. I am also dismayed at Airbnb's response, especially in response to their new 'party' policy. In answer to your questions:
I would also send a claim for damages to the guest and contact the police. They may be able to follow up with the guest. It is actually much more of an issue that guests seem to be able get away with this kind of behaviour scot-free. Really, the guest should be held accountable. Best of luck with it and keep us posted on the outcome.
Kath thanks, have already reported it to the police and have a police report filed with them. The local police then followed up with me and said that its virtually impossible to charge anyone over the offence as they cant prove which individual or individuals kicked down the fence, jumped on and smashed the table etc. They said that our only real response is a civil matter by taking. the guest to court.
Unfortunately the guest is an unemployed young guy with no assets, resources etc.
Hi Len,
Wow, my jaw dropped open when I read your other post. So sorry this has happened to you! Ugh.
Unfortunately, AirBnB’s Host protection guarantee is undoubtedly backed by a third party insurance provider. Or, AirBnB is acting as their own insurer, but I highly suspect not; there is an outside provider.
In my experience with insurance claims In general throughout my life, from medical claims to a car accident (neighbor backed into my legally parked car, which was unoccupied) to a fight with Bank Of America when my identity was stolen, it has most always resulted in them denying my claim, and me having to get increasingly more forceful and demanding in order to get my claim paid. Which they always eventually do. Because they KNOW they owe you the money. But their job is to NOT pay! They literally do teach their employees in insurance claims departments how to deny claims. Agents are also given incentives and bonuses based on how much they do not pay out, much like a sales person may be given a commission when they make a sale.
The claim for my neighbor backing into my car? Her insurance co said their ruling was to charge me with 35% of the accident. Not kidding. I was not even in the car. Then they said I was parked illegally, so I had to look up local laws about parking in cul-de-sacs. I was not parked illegally. I had to file a police report. And I had to fight with them for a solid month, calling nearly every day, before they finally paid my claim.
They already know how much they owe you. But they will try to deny and put you off, bc most people will give up. So they win.
It’s up to you how much you want to go through this hassle. Sounds like due to the extent of the damage, it may be worth it.
When BoA refused to pay for the illegal charges on my CC, I got the fraud division of the LA county police dept involved. The officer told me she gets about 200 of these per week. And that Bank of America and Wells Fargo were the worst; denying every claim routinely.
I had to threaten to take the Bank to small claims court, and amazingly, my case that they had closed and could therefore no longer be worked on, was re-opened and my money re-deposited in my account the next day.
And I then closed my BoA account, will NEVER bank with them again, and have warned many, many people about this experience through the years since it happened. Not worth it in terms of long-term potential loss of business, but most companies’ bean counters don’t think in terms of future lost business. Or if they do, it’s still worth it to them for what they save in the moment.
it is unfortunate we sometimes have to resort to getting strident and demanding to get justice, but it seems to be the way it is with insurance companies. I feel fighting them is about drawing solid boundaries, and not letting them strong-arm the “little” guys and gals, as they are wont to do.
Good luck to you as you navigate this difficult situation! Please let us know how it ends up.
Michelle
Apologies should have replied to all of your comments. Thanks
1.Disappointing that a GUARANTEE isn't a guarantee at all. When Brian Chesky speaks of Airbnb being all about trust, is it just hosts that have to be trustworthy and not Airbnb?
2. I have phoned Airbnb Support numerous times, so thanks have The Australian number. To their credit they are always polite, helpful within the boundaries of what they can do, but futile in getting a resolution to this.
3. I am going to agree to my property owners information that they report this to Queensland Fair Trading, the Federal Governments ACCC and media outlets. It is extremely sad that the only way some people or organisations can be made accountable is under the glare of government agencies and the media. This is NOT what any host wants.
Thanks for your kind message.
Len
@Len37 The response you got was plain wrong. The requirement is within 14 days or before your next guest checks in. No 24 hours— as you say that is ridiculous. I agree with @Kath9 , and I would continue to call and escalate. In the US small claims court would also be an option. Unfortunately since your checkin time was 3 and you reported at 6 that’s going to be a sticky point. I understand the next guests had not actually checked in but Airbnb may seize on it nonetheless.
Thanks Lisa, I notified the guest well before their check in, and they were still travelling here to the coast, so it wasn't a problem that we were delayed. We were trying to ensure that guests were catered for, not engineering our situation to ensure that we would be compliant with small print in an Airbnb agreement.
As hosts shouldn't we be putting the guest first and then Airbnb respecting and supporting this?
@Len37 yes, my point was not that you shouldn't have delayed the check-in. My point was that since check-in was delayed, your damage report to Airbnb was in fact before that check-in, but it was nevertheless after your listed check-in time. So, Airbnb will likely try to refuse your claim on the grounds that it was made after the next guests' official check-in time, even if/when you reach a competent and informed representative. Be prepared to document the delayed check-in.
As a fellow Australian host, I have a couple questions for you:
1. There is few insurance company offer short term rental insurance in Australia, have you bought it? If not I would suggest you start consider it.
2. What did you learn from this situation? Like what you should do to avoid this happens again, please share it so we might learn something new.
3. Did you try myombusman.com.au? Isn't that the next best option before go to media.
Wow, Len that sounds like a horrible experience to go through! Do you plan on doing anything different in the future concerning this listing to protect yourself?
From Airbnb Host Guarantee
Updated Feb 20, 2019
You acknowledge and agree to use your best efforts to communicate with the Responsible Guest (as defined below) as soon as possible after you discover any physical loss or damage to your Covered Property. You must notify Airbnb as well as the Responsible Guest about your complaint and attempt to resolve the loss or damage with the Responsible Guest within the earlier of (i) fourteen (14) days of the check-out date, or (ii) before your next guest checks in. You may fulfill this obligation by submitting a claim via the Airbnb Resolution Center.
No mention of any "24hr before next guest checks in" stipulation. Also, it clearly states "before your next guest checks in" What it doesn't say is, "before your next guest's check-in time"
You need to get back on the phone with CX and quote Airbnb's own policies back at them.
Hello @Len37
I am sorry to hear this happened. It sounds like you did everything you should. Have you gone through arbitration with Airbnb to challenge their decision. I think you have to pay a small amount for this, which you get back if your challenge is successful.
As the owner of 30 properties do you not have home insurance for STR to cover your properties. This would be my go to for substantial damage of the sort you have described. As you know there are many areas not covered by the guarantee so this sort of insurance is pretty essential for hosts who list whole properties.
I would also suggest CCTV or similar is essential where you host remotely to pick up these sort of incidents so can act quickly to shut down parties before they start.
Absolutely love all your listings, and you're clearly providing a fantastic service to both your guests and your owners, but it has to be said - you seriously dropped the ball on this one.
I'm usually the first to encourage hosts to take their grievances to the media, but in this instance, I'd strongly advise you to proceed with extreme caution. Following the 5 tragic shootings at an Airbnb mansion party in Orinda last Halloween, and the subsequent glare of media attention and negative publicity, Airbnb cunningly shifted the focus of blame for such "party houses" onto hosts themselves, and vowed to "crack down" on them, with immediate effect.
To go public with your story now would shine a very bright spotlight on the fact that your Airbnb listing was the scene of an out-of-control party with 100 rampaging revellers who did extensive damage, ($20K worth), thrashed the house, disturbed and distressed the neighbours, resulted in noise and damage complaints, and necessitated the attendance of 7 police cars. Yet the first you knew of any of this was when the cleaners turned up the next day.
You took a 1 night booking for 2 young guys, for a 4 bedroom house, but appear to not have any monitoring system in place (cameras, noise monitors etc). Nor do you appear to have an established relationship with any neighbours, whereby they could immediately alert you to any potential trouble/parties/anti-social behaviour, allowing you to take control of the situation straight away, and deal with it before it could get out of hand.
I'm sorry to say this @Len37 , but if you go to the media with this, it's very likely that it's you they're going to portray in a negative light, for presiding over a party house and allowing it to get out of hand. And if they ask the police for comment, they're probsbly not going to be singing your praises either.
And on top of all that, there's a strong possibility that Airbnb will delist you - and all your listings - for running a "party house". They just won't swallow any host bringing that sort of publicity to their door in the wake of Orinda.
By all means report to the ACCC and the ombudsman, but be very, very careful of the media angle. It could backfire very badly on you, and you've built up too good a business there to see it all go down the drain because of this one unfortunate incident.
Best of luck to you, whatever you choose to do!
@Len37 Apparently there is a difference between the “Airbnb Host Guarantee” and the “Host Protection Insurance”. Not sure if this link will be helpful to you, but I’m including nonetheless.
https://www.airbnb.ca/help/article/938/whats-the-difference-between-airbnbs-host-guarantee-and-host-...
I don’t have any experience initiating the host protection insurance, but the article suggests you can get in direct contact with the third party insurance company.