Airbnb and Homeowners Insurance: What Hosts and Guests Need to Know

May 17, 2024

Airbnb has completely changed the way people travel and find accommodations. With millions of listings worldwide, it offers travelers unique stays and hosts the opportunity to earn extra income by renting out their properties.

But, this booming industry raises important questions about insurance coverage for both hosts and guests. What happens if there's damage to the property? Who is responsible for liability in case of accidents? These are just some of the questions that you may have in your mind. If you want a comprehensive explanation, you can always reach out to us.

Well, in this comprehensive guide, we're going to discuss all the intricacies of Airbnb and homeowners insurance to provide clarity for hosts and guests. Let's just start from the basics to get started now.

Understanding Airbnb Hosting and Homeowners Insurance

What is Airbnb Hosting?

Airbnb hosting simply means renting out a property, whether it's an entire house, apartment, or even just a room, to guests for short-term stays. The person who lists these is called a “Host". Hosts list their properties on the Airbnb platform, set their own prices, and welcome guests from all around the world. This is one of the simplest ways for the hosts to make money on the go.

What is Homeowners Insurance?

Homeowners insurance is a type of property insurance that covers losses and damages to an individual's house and assets within the home. It typically provides coverage for damage to the dwelling, and personal belongings, and liability protection for accidents that occur on the property.

Now, let's understand how these connect when it comes to Airbnb insurance. Once that is done he can do the same without any

How do Airbnb and Homeowners Insurance intersect?

Coverage for Hosts

1.Standard Homeowners Insurance Policies

Traditional homeowners insurance policies often do not provide coverage for short-term rental activities like Airbnb hosting. This is because they are designed to cover personal residential use, not commercial activities such as renting out a property.

2.Host Protection Insurance

To address this gap, Airbnb offers Host Protection Insurance. This insurance provides primary liability coverage for up to $1 million per occurrence in the event of third-party claims of bodily injury or property damage related to an Airbnb stay. It's important to note that Host Protection Insurance has limitations and exclusions, so hosts should carefully review the policy details.

3.Additional Endorsements

Some homeowners insurance companies offer endorsements or riders that can extend coverage to short-term rental activities. Hosts should consult with their insurance provider to see if such options are available and advisable for their specific situation.

Coverage for Guests

1.Airbnb's Host Guarantee

Airbnb also provides a Host Guarantee, which offers protection for up to $1 million in damages to covered property caused by guests during their stay. This includes damage to the host's property and possessions.

2.Travel Insurance

Guests can purchase travel insurance to protect themselves against unforeseen circumstances such as trip cancellations, medical emergencies, or damage to the host's property beyond what is covered by Airbnb's Host Guarantee.

What Hosts and Guests Should Know?

For Hosts

1.Review Insurance Policies

Understand what is covered by your homeowner's insurance policy and whether additional coverage or endorsements are needed for Airbnb hosting. This is an important step you should follow so you don't have to step on the wrong foot with your insurance policies.

2.Communicate with Guests

Before you settle for insurance, you should set clear expectations with guests regarding house rules, security deposits, and potential liabilities. This will help you in the long run.

3.Document Property Condition

Take photos or videos of the property before and after each guest stay to document any damage for insurance purposes. These will help you a lot if you face any property damage that is caused by your guest. Also helps you claim your insured amount faster with solid evidence.

For Guests

1.Read Listing Details Carefully

Familiarize yourself with the host's house rules, cancellation policies, and any additional charges or security deposits. Carefully assess these things before you move in.

2.Communicate with the Host

Notify the host immediately if any damage occurs during your stay to address the issue promptly. Swift communication is important for both parties involved to solve potential issues and miscommunications.

3.Consider Travel Insurance

Depending on the nature of your trip and personal preferences, consider purchasing travel insurance for added peace of mind. Consider what you need to figure out whether you need this or not.


While Airbnb provides some protection through Host Protection Insurance and the Host Guarantee, hosts and guests should also review their homeowner’s insurance policies and consider additional coverage options to ensure adequate protection for their Airbnb experiences.

Follow the steps we have mentioned before to make better decisions. If you still have doubts or need Airbnb insurance or Homeowners insurance, you can always reach out to The Jain Agency. We provide the best Airbnb and homeowners insurance in St. Louis. Contact us today to get a free consultation!