Hi Peta
I have the same problem here in Adelaide. I managed to get liability insurance for death and disability of guests staying in our granny flat run as an Airbnb last year but this year they have said no.
If anyone knows of a company who will cover us with liability insurance for guests' death and/or injury insurance as well as our home and content insurance, I would be very grateful.
This must be a common issue for all the people offering Airbnb across Australia??