From unexpected guest damage to liability concerns, many homeowners assume their regular home insurance will protect them only to find out too late that short-term rentals aren’t fully covered by their standard homeowners policy.
Before you hand over the keys, here are some important insurance tips to help you protect your property, your guests, and your financial peace of mind.
Know the Limitations of Your Homeowners Insurance
Most traditional homeowners policies were designed for owner-occupied homes, not for frequent, short-term guests. In fact, once you start accepting paying guests, your home may be considered a business, which can affect your coverage.
What might not be covered: 
- Guest injuries or accidents (liability gaps)
- Theft or damage caused by renters
- Business income loss due to cancellations
💡 Bottom Line:
Don’t assume your homeowners policy has your back. Always check with your insurance agent before listing your property.
Consider Adding a Short-Term Rental Endorsement
Some insurance companies now offer endorsements or add-ons to extend coverage for occasional rentals through platforms like Airbnb or Vrbo. These endorsements are typically more affordable than full commercial policies but still offer essential protections.
What it may include:
- Liability coverage for guest injuries
- Coverage for damage caused by renters
- Income loss if the property becomes uninhabitable
💡 Tip:
This is a great option if you rent out your property a few times a year (for example, only during holidays or special events).
If You’re Renting Frequently, Consider a Commercial Policy
If your property is rented regularly or operates more like a business, you may need a commercial rental policy or a landlord insurance policy designed for short-term stays.
What this provides: 
- Broader liability protection
- Business income coverage
- Higher limits for property damage
💡 Tip:
If you own multiple rental units or rely on rental income, a commercial policy offers stronger, more comprehensive protection than homeowners coverage alone.
Don’t Rely on Airbnb or Vrbo “Host Protection” Policies
While platforms like Airbnb offer some level of host coverage, it’s important to know what they don’t cover and that their protection isn’t a substitute for a dedicated insurance policy.
🛑 Host guarantees often exclude:
- Wear and tear or maintenance issues
- Certain types of liability (e.g., intentional acts)
- Shared spaces (like if you rent out one room while living in another)
💡 Tip:
Use the platform’s coverage as a back-up, not your first line of coverage. Always have your own policy in place to reduce your own liability and keep yourself safe.
Protect Personal Property You Leave Behind
Even well-meaning guests can accidentally damage personal belongings, and some items, like electronics, artwork, or tools, may not be covered without specific extra endorsements.This will be true if any of those items are high value.
What to do:
- Lock away valuables in a secure closet or off-site
- Take photos and inventory of items left in the rental. A walk through video is a great idea to assess what was there when you rented the place, and to establish a baseline in case theft or damage occurs.
- Ask your agent about personal property limits and exclusions so you are informed in case of this situation
Before You Rent: A Quick Checklist 
✔ Confirm your current policy’s stance on short-term rentals
✔ Ask about adding a short-term rental endorsement
✔ Consider a landlord or commercial policy if you rent regularly
✔ Take inventory and protect valuables
✔ Review platform coverage, but don’t rely solely on it
Ready to make the most of your rental property without the risk? Let’s make sure your insurance keeps up with your goals. Contact us today for a quick coverage review!
