SHORT-TERM RENTAL INSURANCE
Short-term rental insurance for Airbnb and VRBO hosts.
Airbnb's AirCover and VRBO's coverage programs provide some protection but they are not insurance policies. Both have exclusions and claim processes that regularly leave hosts with gaps. A dedicated short-term rental policy covers your property commercially from the first night of your first guest.
What it covers
What short-term rental insurance covers
What it covers
Property Damage Coverage
Covers the physical property during guest stays and between rentals.
What it covers
Host Liability Coverage
Pays if a guest is injured on the property. This is your host liability coverage. Most home-sharing platforms provide some liability coverage but limits are often lower than they appear.
What it covers
Lost Rental Income
Pays lost rental income if the property is damaged and unavailable for booking during repairs. Coverage is based on actual lost revenue during the restoration period, not a flat amount. Some policies include a waiting period of 24 to 72 hours before income benefits begin, and the limit is typically tied to the time required to restore the property to rentable condition.
What it covers
Guest Theft Coverage
Standalone short-term rental policies cover theft of host belongings by guests, a risk most homeowners policies exclude when the home is rented. This is part of your personal property coverage and includes furnishings, electronics, artwork, and personal items left on the premises. Proof of theft, such as a police report and a booking record confirming a guest was present, is typically required to support the claim.
Where policies have edges
What short-term rental insurance does not cover
Not covered
Uncovered personal homeowners policy
Most homeowners policies exclude short-term rental activity entirely. The property must be disclosed as a rental.
Not covered
Guest personal property
Guest personal property and belongings are not covered by the host's policy.
Not covered
Intentional guest damage
Intentional damage by guests is generally excluded or subject to different claims handling than accidental damage. Carriers distinguish between a guest accidentally breaking a fixture and one deliberately vandalizing the property. Documentation through booking platform records, security camera footage, and incident reports strengthens a claim when intent is disputed.
Not covered
Platform Protection Gaps
Hosting platform guarantees from major booking apps, such as AirCover for hosts, are limited programs, not insurance policies, and do not replace dedicated coverage for significant losses. They apply only to bookings made through the platform, exclude certain property types and loss categories, carry sublimits below typical property values, and require disputes with the guest to be exhausted first. A standalone short-term rental policy removes those conditions.
Who needs this
Who needs Short-Term Rental Insurance?
Property owners who rent a primary home, a second home, or a dedicated investment property to guests through Airbnb, VRBO, Hipcamp, or direct booking need a policy built for that use. This includes owners of year-round mountain cabins, homeowners renting during festivals and events, waterfront homeowners with short seasonal rental windows, and owners renting a spare room or accessory dwelling unit. Owners applying for a local short-term rental permit often need proof of liability insurance before the permit is issued, and permit rules vary by city and county. Anyone whose standard homeowners policy excludes business use falls into this group, which covers most hosts who take recurring paid bookings. Owners who rent to long-term tenants instead may need landlord insurance rather than a short-term rental policy.
What it costs
What can you expect to pay?
$1,500 to $5,000 per year for most short-term rental properties
Requirements by state
How does this work in your state?
Short-Term Rental Insurance rules, regulatory requirements, and available coverage vary by state. Send us your state and details through a free coverage review and we will confirm what applies to you.
If You Need to File a Claim
Claims tips
First Steps
Report the loss to your carrier immediately. Short-term rental claims often involve damage by guests, theft, or liability when a guest is injured. Take photos or video of the property damage before allowing any cleanup or repairs. If a guest caused damage, preserve the booking record and any communication with the guest, the carrier may pursue subrogation against the guest or their platform coverage.
What to Document
Photograph all damage from multiple angles. Pull the booking record showing check-in and check-out dates. Save any communication with the guest about the property or the damage. If you used a platform like Airbnb or VRBO, document whether you filed a platform protection claim and what the outcome was, since some carriers require you to exhaust platform coverage first.
Common Mistakes
Assuming the rental platform's host guarantee covers all property damage, platform protections have significant gaps and sublimits. Assuming a standard homeowners policy covers short-term rental activity, most do not, and a guest injury at a rental property can be denied under a homeowners policy. Not reporting a guest injury claim promptly even if the guest says they are fine.
When to Call Us
Any time a guest is injured, any time property damage exceeds what the platform will cover, or any time you are unsure whether your current policy covers short-term rental use. You can also start a claim with us directly.
OUR CARRIER PANEL
Carriers We Work With
The carriers we compare are licensed and regulated in your state. We shop these markets and present the options that match your situation; a licensed advisor reviews the fit with you in a free coverage review.
Steadily Insurance
Steadily focuses exclusively on landlord and short-term rental coverage, with policies built for Airbnb, VRBO, and similar hosting platforms.
Learn moreForemost Insurance
Foremost writes specialty dwelling coverage for vacation rentals and non-owner-occupied properties where standard homeowners policies do not apply.
Learn moreNationwide Insurance
Nationwide offers rental property coverage including short-term rental endorsements where standard homeowners policies exclude rental activity.
Learn moreCommon Questions
Short-Term Rental Insurance: frequently asked questions
Does Airbnb's AirCover replace the need for STR insurance?
AirCover (from Airbnb) and the Book With Confidence Guarantee (from VRBO) are platform-provided supplemental protection, not insurance.
Does short-term rental insurance cover Airbnb or VRBO stays?
Short-term rental insurance is a policy the property owner buys. It protects the host's building, contents, liability, and lost rental income, because a standard homeowners policy usually excludes regular paid guests. It does not cover a guest's belongings or personal liability; a guest relies on their own coverage instead.