When it comes to renting out your home, there are a lot of things to consider. And one of the most important is insurance. After all, you want to make sure you’re protected in case of any accidents, fires, or other disasters. That’s where short-term rental insurance comes in.
There are a lot of different companies that offer this type of insurance, so it can be tough to figure out which one is the best for you. But never fear! We did the research and found the 16 best short-term rental insurance companies out there. We looked at things like price and coverage options, customer service, reputation, and more. So take a look at our list and find the perfect insurer for your needs.
The 7 Best Short-Term Rental Insurers In 2022
- Best Overall: Proper Insurance
- Best for Home Sharing: Allstate
- Best for Vacation Homes: CBIZ
- Best for Coverage Options: Nationwide
- Best for Landlords: Farmers
- Best for Customer Service: American Modern
- Best Affordable Option: American Family
What Is Short-Term Rental Insurance?
If you rent your home to guests for occasional, seasonal, or short terms of a few days to a week at a time, you’re a prime candidate for short-term rental insurance. In fact, if you don’t have this specific type of coverage, you are exposing yourself to a number of risks.
Short-term rental coverage is not for landlords who rent their properties to tenants with leases. Short-term rental policies reduce your liability for things like damage caused to your property while a guest is renting it for a few days, physical property such as jewelry or artwork stolen by a guest, and even digital theft by a guest who steals your identity and gains access to your accounts. The other key component to short-term rental insurance is that it protects you against the income you would lose if your property became uninhabitable due to a covered event such as fire or severe weather.
Without short-term rental insurance, you would be responsible for all of the damages caused by your guests, as well as any loss of income if your property became unusable. Given the potential risks involved, short-term rental insurance is an essential protection for anyone who rents out their home on a short-term basis.
Who Should Get Short-Term Rental Insurance?
If you rent your property out for short stays on Airbnb or other rental platforms, it’s important to have short-term rental insurance. This type of insurance provides additional coverage for the new risks that come with hosting guests. Short-term rental insurance can protect you from a variety of conditions, including property damage, liability, and theft. In addition, short-term rental insurance can provide coverage for lost income if your property is uninhabitable due to a covered condition. With the growing popularity of short-term rentals, there are a number of insurance companies that offer policies specifically tailored to this need. When shopping for a policy, be sure to compare coverages and limits to find the best fit for your needs.
Do Homeowners Or Landlords Insurance Cover Short-Term Rentals?
Are you considering renting out your property to short-term guests? If so, you may be wondering if your homeowner’s insurance policy will provide enough coverage. The truth is, most homeowner’s policies do not cover damages caused by short-term renters. This is where short-term rental coverage comes in. A good short-term rental policy will fill in the gaps between your homeowner’s policy and a landlord policy, providing additional protection for your property. Most importantly, it will cover the loss of your income if your property cannot be rented due to damages. So, if you are planning on renting out your property on a short-term basis, be sure to talk to your agent about getting the right coverage in place.
How We Chose The Best Short-Term Rental Insurance
We dug through the details on 16 short-term rental insurance carriers to find the best for these seven categories. We made sure they had solid ratings from AM Best and comparatively few consumer complaints registered with the NAIC to get a handle on their reputation in the market.
We also wanted to see if they had options to customize their short-term rental coverage, or if it was served to you in a one-size-fits-all package. We preferred options and customizations to better fit different circumstances.
Online quoting and account management with the option to talk to a live agent always won out over just one or the other. People like to interact with their insurance companies in different ways, and we recognized the carriers that understand that. The best carrier in our evaluation, State Farm, provides all of these features along with some valuable extras. When you’re looking for short-term rental insurance, it’s important to consider your unique needs and find a company that will be able to provide the coverage you need at a price you’re comfortable with.