Airbnb is a wonderful tool for helping people to generate a little extra money by renting out either their house or their apartment or a single room to those looking for housing, typically for short stents of time (i.e. a couple of days or a week). Those looking to rent their space would create an account on Airbnb’s website and post a description, pictures and location of the area they want to rent as well as a changeable nightly price and a description of themselves as ‘hosts’. Someone looking to find housing would search the area they’re traveling to and view all of the different Airbnb locations available for rent and pick the one that best suits their desires. This form of housing is popular especially among vacationers and travelers because you can typically get more for your dollar in an Airbnb rental than from renting a hotel room.
Airbnb boasts over 1,500,000 listings in over 34,000 cities in 190 countries around the world. However lately, they’ve been experiencing questioning over their liability insurance in Airbnb properties. This topic was especially questioned recently when a family rented an Airbnb place in Texas for vacation. The rental house advertised a beautiful rope swing in addition to the property. As the family progressed through their stay at the space, the father decided to try out the rope swing. However, the tree which the swing was tied to fell onto the father when he tried using the swing and ended up killing him.
Because of this incident and another deadly incident in Turkey, Airbnb decided to reevaluate their liability insurance policy. Airbnb decided to begin offering free supplemental insurance to their hosts in case their insurance denied a claim made by a renter. Furthermore, Airbnb made this coverage primary and covers up to $1 million per incident.
So my question to you is, do you think that Airbnb should be upgrading their liability insurance or, because the homeowners freely choose to rent their house and receive majority of the income from that, should they should be upgrading their liability insurance?
Caroline A.B. Lynch