Airbnb Insurance in New Hampshire
What is Airbnb insurance?
The development of online short-term rental platforms has given homeowners and investors new opportunities to generate income, but these opportunities also come with risks. New Hampshire homeowners should consider the potential of property damage, injury, and other issues, which is increased given nearly anyone can use your property. Airbnb insurance may help protect against such risks.
Though there is no specific Airbnb insurance, homeowners who rent out all or a portion of their home for short-term rental, may be covered by purchasing a policy that covers such risk. In addition, if the home is used by the property owner, along with an occasional short-term rental thru Airbnb, VRBO, or other short-term rental services, some home insurance companies will extend coverage while rented out. That said, you will want to decide how many weeks you are willing to rent it out and communicate this with your insurance company to ensure you are all on the same page. The carrier may have a specific number of allowable weeks for rental. If you go over this limit, you may be risking coverage.
Specialized landlord insurance for short-term rentals may be more appropriate for properties rented out full-time via Airbnb and other rental platforms. These policies usually package several coverages to protect against property damage, guest injury, and more. But again, communication with your insurance professional is critical as many insurance companies consider a short-term rental differently than long-term tenants.
Who in New Hampshire should purchase Airbnb host insurance?
All New Hampshire homeowners and investors who list their homes on short-term rental sites should consider purchasing Airbnb host insurance.
As the prevalence of Airbnb and similar websites increases, more and more people need host insurance but may not be aware of it. Here are a few examples of when a short-term rental may need Airbnb host insurance :
- Homeowners rent their primary home out during weeks of peak demand
- Homeowners regularly rent out a room or inlaw apartment short-term
- Owners of ski lodges rent out their second house when not using it
- Owners of a lake home rent out their home for a few weeks during the summer
- Owners of off-grid cabins rent out their lodging when not camping in them
- Investors want to increase property revenues with short-term rentals
Homeowners and investors unsure whether this is the most appropriate insurance for their situation should speak with an agent specializing in Airbnb host insurance. A knowledgeable host can recommend either this or a landlord insurance policy after reviewing the details of a rental property.
What incidents do Airbnb host policies protect against?
Precisely what incidents an Airbnb host policy protects against are determined by that policy's terms, conditions and exclusions. Protection might apply in the following scenarios:
- A guest slips on an icy driveway and is injured
- Guests are injured in a fire caused by a malfunctioning stove
- Guests steal valuables or other items
- A guest burns down the property
A key point to remember is that if your insurance company does not know that the insured property is being rented out, any loss is at risk of being covered.
Does the Airbnb platform offer any insurance for the property owner?
Everyone who lists a residence on the Airbnb website usually receives two protections from the platform. These are generally given at no additional cost and applied automatically. That said, these coverages can change or no longer be offered without you even noticing. As you can not control what Airbnb offers or not, it is strongly suggested you take steps to protect your property with your own policy.
The more common coverage that Airbnb offers is Host Guest Guarantee coverage which can provide some coverage for guest-caused damage to property. However, this coverage has some notable exceptions, so review this coverage carefully.
Second, Airbnb’s Host Protection Insurance typically offers liability coverage against common third-party lawsuits.
The Hosts Protection Insurance also has its limits, though. So again, review carefully.
Can property owners purchase their own insurance for listings?
Homeowners and investors should elect to purchase their own Airbnb host insurance for better protection. Though not every insurance company will offer short-term rental coverage, HPM Insurance represents several carriers that do provide it at a reasonable rate.
How much are premiums for Airbnb host policies?
Purchasing a separate Airbnb host policy tends to be quite affordable, especially considering the added protection these policies can give.
An independent insurance agent can help hosts determine how much a policy for their property would cost. Independent agents can request customized quotes from multiple insurance companies, which makes checking rates and comparing coverage options easy.
How can New Hampshire property owners get Airbnb insurance?
For help insuring a short-term rental property located in New Hampshire, contact the independent insurance agents of HPM Insurance. Our agents are well-versed in many types of property insurance, including short-term rental property insurance, and we’ll work hard to make sure you get Airbnb insurance that will protect your property well.