Home Insurance for Airbnb Hosts: The Best Home Insurance for Airbnb Owners

Renting out your property on Airbnb can be a great way to earn extra income, but it also comes with its own set of risks and responsibilities.

Home Insurance for Airbnb Hosts
Home Insurance for Airbnb Hosts

One of the most important considerations is ensuring that you have the right insurance coverage to protect your property and yourself from potential liabilities.

Here’s what you need to know about home insurance for Airbnb.

What Does Home Insurance Cover for Airbnb Hosts?

Home insurance for Airbnb hosts typically covers the following:

  • Property Damage: Insurance can cover damage to your property caused by guests or other covered perils.
  • Liability Protection: If a guest is injured on your property, liability coverage can help protect you from legal and medical expenses.
  • Loss of Income: If your property is damaged and you’re unable to rent it out, some policies may cover the lost income during repairs.

However, standard home insurance might not cover these when you’re renting out your property as a business activity.

Therefore, it’s essential to check with your insurance provider or consider additional coverage options like Airbnb’s AirCover or a separate short-term rental insurance policy.

How can I estimate the right amount of coverage for my Airbnb property?

Estimating the right amount of coverage for your Airbnb property involves several factors. Here’s a step-by-step guide to help you determine the appropriate coverage:

1.Assess Your Property Value

Determine the current market value of your property, including the structure and contents that you provide for guests.

2.Calculate Potential Risks

Consider the risks associated with renting out your property, such as property damage, theft, or liability for guest injuries.

3.Review Airbnb’s Coverage

Airbnb provides up to $1 million in host liability insurance and up to $3 million in host damage protection1. Understand what is covered and any gaps that might exist.

4.Consider Additional Costs

Factor in potential loss of income if your property cannot be rented due to damages, and cleaning or repair costs that may exceed Airbnb’s coverage.

5.Consult with Professionals

Speak with a licensed insurance agent or a financial advisor who has experience with short-term rentals to get personalized advice.

Is my property covered by standard homeowners insurance when I rent it out on Airbnb?

When you rent out your property on Airbnb, standard homeowners insurance typically does not provide coverage for business activities, which includes short-term rentals like Airbnb.

Home Insurance for Airbnb Hosts
Is my property covered by standard homeowners insurance when I rent it out on Airbnb?

This is because the risks associated with renting out your home to guests are different from those covered under a personal homeowners policy.

Here are some key points to consider:

1.Personal vs. Business Use

Standard policies are designed for personal residential use, not commercial use.

2.Liability Issues

If a guest is injured on your property, standard homeowners insurance may not cover the liability.

3.Property Damage

Damage caused by guests may not be covered under a standard policy.

To ensure coverage while renting out your property on Airbnb, you might need to:

1.Extend Your Current Policy

Some insurers offer an endorsement or rider to extend coverage for short-term rentals.

2.Purchase Specialized Insurance

Consider a short-term rental or commercial policy that specifically covers Airbnb hosting.

3.Rely on Airbnb’s AirCover

Airbnb provides certain protections, including liability and property damage coverage, but it’s important to understand the limits and exclusions.

It’s always best to consult with your insurance provider or a licensed insurance professional to discuss your specific situation and ensure that you have the appropriate coverage for your Airbnb property.

They can help you navigate the complexities of insurance coverage for short-term rentals and find a policy that fits your needs.

Can I opt out of Airbnb’s AirCover?

Yes, you can opt out of Airbnb’s AirCover if you believe you have sufficient coverage through another insurance policy.

However, it’s important to carefully consider this decision because AirCover provides comprehensive protection specifically designed for Airbnb hosts, including up to $1 million in liability coverage and property damage protection.


As an Airbnb host, it’s crucial to understand the limitations of your standard homeowners insurance and the additional coverage options available to you. By ensuring you have the right insurance in place, you can host with peace of mind, knowing that both your property and your financial well-being are protected.

For more detailed information and to ensure you have the proper coverage, always consult with a licensed insurance professional before listing your property on Airbnb.

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