Is Home Sharing Covered by Homeowners Insurance?

Home sharing is becoming a real powerhouse in the market, but where does that leave your homeowners insurance?

Companies like AirBnB have made it easier for people to enter the “home sharing” market where you rent your house or apartment to short-term paying guests. You offer guests a play to stay for a cheap price, and they pay you. But the advent of home sharing has left many asking the question: “where does that leave your homeowners insurance policy?” It’s a great question. If something happens to your home while your home is being rented out, does your insurance policy cover you?

Home sharing: is it covered by your home insurance?

Will my home insurance provide coverage if I rent a portion or all of my home to paying guests?

If you rent out your home for money, this is what many would call a business transaction. With a personal home insurance policy, business-related accidents are not included as a part of your coverage.

Is personal property covered while a paying guest stays in my home?

There is no coverage that applies while a paying guest stays in your home and your property gets damaged. Again, the business clause of home sharing voids your policy. If something like a fire were to occur while they stay, the paying guest will have to look towards their own policy for the loss.

What if my paying guest steals my things or damages my property?

Your property coverage normally extends to your assets, but when it’s a paying guest, your policy will not cover your items.

In order to be covered for home-sharing instances, you are going to need to add a business policy that does protect your home from paying guests.

For all of your homeowners insurance needs to ensure your home is fully covered for a complete reconstruction, contact Miller Insurance Associates in Carlisle, Pennsylvania.