Most Airbnb hosts are not adequately insured.
Last year more than 12,000 people rented out 22,000 of their households here in Ireland on Airbnb.com. On average a host can earn over €3,000 a year while top earners can make in excessive of €100,000 annually. Amazingly over 800,000 people stayed in Ireland last year through the accommodation website. The number of people renting through Airbnb is growing steadily each year. Yet despite this many hosts are unaware of the risk they are taking with their home insurance policy. Hosts are not declaring their property as part rental to their insurance company. This lack of information provided by the home owner to the insurance company is a growing cause for concern.
Hosts are opting simply not to tell their insurance provider while others simply are not aware they must inform them. Many of these insurance policies require additional risk assessment by their respective insurers. Claims can be rejected whether it is in relation to an Airbnb tenant incident or because of non disclosure of their use of the service.
Airbnb does offer Host Guarantees for its users of over €650,000 but there are a number of areas not covered in this guarantee such as:
- Personal Liabilities.
- Communal Areas.
Also, Airbnb stresses that this is not an insurance policy and that users should take out their own policies as further cover.
Your basic home insurance policy covers owner occupiers, family and close friends with the assumption that your door will not be open to strangers. The very premise of Airbnb puts this policy at jeopardy because of the risk involved with not knowing who your guests are.
- Contact your insurance provider and check your policy.
- Give full disclosure of your plans.
- Ask about accidental damage coverage.
- Ask about liabilities for people renting your home.
- If in doubt, don’t rent it out.
Are you covered?
For competitive home insurance quotes talk to one our experts today, call Munstergroup Insurance 065 6841766.