Airbnb does not insure your home the way a homeowner's or renter's insurance policy does
Airbnb offers a protection program called Host Protection Insurance, but it is not homeowner's insurance. It covers damage caused by guests and certain liability claims, but it does not cover damage from weather, theft by non-guests, maintenance issues, or loss of rental income if your listing goes down. Your personal homeowner's or renter's insurance is still your primary protection, and many policies exclude short-term rental activity altogether.
The gap between what Airbnb covers and what your home actually needs protection from is where most hosts run into trouble. You need to know what your own insurance covers before you list, because Airbnb's program sits on top of it, not instead of it.
Key Takeaways
- Airbnb Host Protection Insurance covers guest-caused damage and some liability claims, but does not replace homeowner's or renter's insurance.
- Most standard homeowner's policies exclude short-term rentals, so you may need a separate policy or rider even if you have coverage now.
- Host Protection Insurance has a per-incident deductible (usually $1,000 to $3,000) and does not cover damage from weather, theft, or maintenance failures.
- You are responsible for verifying what your own insurance covers before you start renting out your space.
What Host Protection Insurance actually covers
Airbnb's Host Protection Insurance covers damage to your property caused directly by a guest, including broken furniture, damaged walls, stained carpets, and stolen items left in plain sight. It also covers certain liability claims if a guest is injured on your property and sues you — for example, if they fall down stairs and claim negligence. The program is automatic for all hosts and costs nothing extra.
The coverage has limits. Airbnb covers up to $1 million in liability claims in most places, but the property damage portion is capped at your home's replacement cost or the amount Airbnb determines it would cost to repair or replace items. You pay a deductible per incident, typically between $1,000 and $3,000 depending on your location and the type of damage.
To file a claim, you report the damage through the Airbnb app or website, provide photos and a description, and Airbnb's claims team investigates. The process usually takes weeks. If Airbnb approves the claim, they either pay you directly or reimburse you after you provide receipts for repairs.
What Host Protection Insurance does not cover
Host Protection Insurance does not cover damage from weather, natural disasters, fire, or flooding. It does not cover theft by people who are not guests — a break-in by someone off the street is not covered. It does not cover maintenance issues, wear and tear, or damage that existed before the guest arrived. It does not cover loss of income if your listing is unavailable due to damage or cancellations.
The program also does not cover damage caused by the host, damage that violates Airbnb's policies (such as damage from an unauthorized party), or claims that arise from the host's own negligence. If you fail to disclose a safety hazard and a guest is injured, Airbnb may deny the claim. If you rent out a space you do not own or have permission to rent, claims are not covered.
Host Protection Insurance is secondary to your own homeowner's or renter's insurance. If your personal policy covers the damage, Airbnb's program does not pay — your insurance does. Airbnb only steps in if your own insurance does not cover it or if you do not have insurance.
Why your homeowner's or renter's policy may not cover short-term rentals
Most standard homeowner's and renter's insurance policies exclude short-term rental activity. If your lease or policy says you cannot run a business from the property, or if it specifically excludes rentals of less than 30 days, your insurer may deny a claim related to guest damage or liability. Some insurers will cancel your policy if they discover you are renting out the space.
The reason is straightforward: short-term rentals are higher risk than owner-occupied homes. Guests stay briefly, do not have the same stake in the property, and create more foot traffic and liability exposure. Insurers price their policies for owner-occupied use, so they exclude commercial activity.
You need to contact your insurer directly and ask whether your policy covers short-term rentals. Do not assume it does. If it does not, you have two options: add a rider to your existing policy that covers short-term rental activity, or buy a separate short-term rental insurance policy. Both cost more than standard homeowner's insurance, but they are necessary to avoid a coverage gap.
How to find out what your own insurance covers
Call your homeowner's or renter's insurance company and tell them you are considering renting out your space on Airbnb. Ask specifically: Does my policy cover short-term rentals? If not, can you add a rider? What would that cost? What is the deductible? What damage is covered?
Write down the answers and ask for them in writing if possible. Do not rely on a verbal conversation — get documentation. If your insurer says short-term rentals are not covered, ask whether they offer a rider or whether you need to switch to a different insurer.
If you rent out a room in your home (not the whole home), some insurers treat it differently than renting the entire property. A room rental may be covered under a homeowner's policy as a boarder situation, while a full-home rental is not. Ask about your specific situation.
The difference between Host Protection Insurance and actual insurance
Host Protection Insurance is a liability shield, not insurance in the traditional sense. You do not pay a premium, you do not have a policy document with terms you negotiated, and Airbnb can change the coverage or terms at any time. It is a benefit Airbnb provides to reduce their own legal risk, not a contract between you and an insurance company.
Real insurance — homeowner's, renter's, or short-term rental insurance — is a contract. You pay a premium, you receive a policy document that spells out exactly what is covered and what is not, and the insurer is legally bound to honor claims that fall within the policy terms. If a claim is denied, you can appeal or take legal action.
With Host Protection Insurance, Airbnb investigates and decides whether to pay. If they deny your claim, your recourse is limited. You can dispute the decision through Airbnb's process, but you cannot sue Airbnb for breach of contract the way you could with a traditional insurer.
What hosts typically need to protect themselves
Most hosts need three layers of protection: their own homeowner's or renter's insurance with a short-term rental rider or a separate short-term rental policy; Airbnb's Host Protection Insurance; and personal liability insurance if they want additional coverage beyond what Airbnb provides.
Some hosts also buy loss-of-income insurance, which covers your lost rental revenue if your property becomes uninhabitable due to damage. This is separate from property damage coverage and is useful if you depend on rental income to pay your mortgage or rent.
The cost of a short-term rental insurance rider or policy varies widely depending on your location, the value of your home, how many days per year you rent, and your claims history. Get quotes from at least two insurers before you list. The cost is a business expense and may be tax-deductible.
Frequently Asked Questions
If I have homeowner's insurance, do I need anything else?
Not necessarily, but you need to verify first. Call your insurer and ask whether your policy covers short-term rentals. If it does not, you need to add a rider or buy a separate policy before you list. Host Protection Insurance is not a substitute for homeowner's insurance — it is secondary to it.
What happens if a guest is injured and sues me?
Airbnb's Host Protection Insurance covers liability claims up to $1 million in most locations. However, your own homeowner's or renter's insurance may also cover it, and that policy would be primary. If both policies explore, your insurance pays first, then Airbnb covers any remaining amount up to their limit.
Does Host Protection Insurance cover theft?
Only if the guest stole the item. If someone who is not a guest breaks in and steals from you, Host Protection Insurance does not cover it. Your homeowner's or renter's insurance may cover theft, depending on your policy and deductible.
Can Airbnb deny my claim?
Yes. Airbnb can deny claims for damage that existed before the guest arrived, damage caused by the host, damage from weather or natural disasters, or damage that violates Airbnb's policies. If Airbnb denies your claim, you can dispute it through their process, but you cannot force them to pay.
How much does Host Protection Insurance cost?
It is free — Airbnb includes it automatically for all hosts. However, you pay a deductible per incident, usually $1,000 to $3,000. You may also need to buy your own short-term rental insurance, which does have a monthly or annual premium.