Insurance for Airbnb and Short-Term Rentals: What You Need to Know
Renting out your home—or even just a room—on Airbnb or another platform can be a great source of income. But did you know that standard homeowners insurance often doesn’t cover short-term rental activity? If you’re hosting guests, even occasionally, you may need extra protection. This post explains what your policy may be missing and how to fix it.
Why Standard Homeowners Insurance Falls Short
Traditional homeowners insurance is designed for owner-occupied personal use, not for commercial or rental activity. Once you rent your property to paying guests—even for one night—it may void parts of your existing coverage.
That means if a guest:
Damages your property
Gets injured on your premises
Steals or vandalizes your belongings
...your insurance provider might deny the claim if they weren’t informed the home was being used as a short-term rental.
What About Airbnb’s Host Guarantee?
Airbnb offers a Host Guarantee and Host Protection Insurance, which can provide up to $1 million in coverage for property damage and liability. Sounds great, right?
Here’s the catch:
It’s not an insurance policy, and it has many exclusions.
It may not cover wear and tear, intentional damage, or stolen valuables.
You may still be responsible for injuries or lawsuits.
Relying solely on Airbnb’s protection is risky. It’s better to have your own coverage in place.
Insurance Options for Airbnb Hosts
Depending on how often you rent your home and whether it's your primary residence, here are the insurance options to consider:
1. Home-Sharing Endorsement
Some insurance companies offer a home-sharing endorsement as an add-on to your current homeowners policy. It extends limited coverage to short-term rental activity, such as:
Liability for guest injuries
Minor property damage
Theft by guests
Best for: Occasional hosts who rent out a room or their home a few times per year.
2. Short-Term Rental Insurance
This is a specialized policy designed specifically for short-term rentals through platforms like Airbnb, Vrbo, and Booking.com. It offers:
Comprehensive property damage protection
Guest liability coverage
Loss of rental income due to damage
Optional amenities coverage (e.g. pools, hot tubs)
Best for: Frequent hosts or anyone using their property as a consistent short-term rental income source.
3. Commercial Landlord Insurance
If you're renting out a second home or investment property full-time, you may need a commercial landlord policy, sometimes called a dwelling fire policy or rental property insurance. These typically cover:
Property structure
Liability for tenant injuries
Loss of rental income due to covered events
This is ideal for long-term rentals but can be adapted for short-term use with the right rider or endorsement.
What to Watch Out For
When shopping for short-term rental insurance, pay attention to:
Guest exclusions: Some policies exclude damage caused by renters.
Host negligence clauses: Claims may be denied if damage or injury is due to improper maintenance.
Coverage limits: Know how much protection you have for building, contents, and liability.
Local regulations: Some cities require hosts to carry specific insurance to operate legally.
How Hixson & Malinowski Insurance Can Help
As an independent agency in Parma, we know how to protect Ohio homeowners—whether they’re living in their homes full time or earning income through Airbnb. At Hixson & Malinowski Insurance, we:
Review your current homeowners policy for rental exclusions
Recommend the right endorsements or stand-alone policies
Compare quotes from multiple carriers offering Airbnb-friendly coverage
Help ensure you’re compliant with local regulations
We take the guesswork out of protecting your home, your income, and your peace of mind.
Listing your home on Airbnb or Vrbo can be a smart financial move—but it comes with risks that most standard insurance policies won’t cover. Whether you’re renting a spare room a few weekends a year or managing a full-time short-term rental, it’s critical to have the right coverage. Contact Hixson & Malinowski Insurance today to learn how we can help you host with confidence.
