Hosting Guests Or Renters? What Your Homeowners Insurance Really Covers

​Whether you're having family stay for the weekend or renting out your spare room through a platform like Airbnb, opening your home to others can come with unexpected risks. Many homeowners assume their insurance automatically covers all scenarios — but that’s not always the case. Understanding what your homeowners insurance does and doesn’t cover when hosting guests or renters is essential for protecting yourself, your property, and your finances.
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Here’s a breakdown of what you need to know.

Hosting Personal Guests: What’s Typically Covered
If you're hosting friends, family, or other personal (non-paying) guests, standard homeowners insurance usually provides:

✅ Liability Protection
If a guest is accidentally injured on your property — such as tripping on a rug or slipping by the pool — your policy typically includes personal liability coverage to help with:

• Medical bills
• Legal expenses
• Settlements or judgments if you're sued

✅ Medical Payments Coverage
Many policies also include a small amount of medical payments coverage that pays for minor injuries to guests, regardless of who’s at fault. This helps resolve small incidents quickly and without a lawsuit.

✅ Property Damage Protection
If your property is accidentally damaged by a guest (like a broken window or spilled wine on the carpet), this may be covered — though it depends on your policy terms and deductible.

Important: Insurance may not cover intentional damage caused by guests, or injury/damage due to neglect (such as ignoring a known hazard).

Hosting Short-Term Renters: Are They Considered “Guests”?
When you start charging people to stay in your home — such as through Airbnb, Vrbo, or other short-term rental platforms — the rules change significantly. From your insurer’s perspective, you’ve moved from being a homeowner to running a business.

In most standard homeowners policies, short-term rentals are not covered, or they may be excluded entirely from liability and property protection.

❌ Why This Matters:

• If a renter is injured during their stay, your policy may deny the claim.
• If the renter damages your property, you may be fully responsible for the repairs.
• Some insurers may even cancel your policy if you fail to disclose that you're using your home as a rental.

How to Protect Yourself as a Short-Term Host
If you’re considering renting out your home or part of it, you have several options to stay protected:

🔒 Talk to Your Insurance Provider

• Some insurers offer endorsements (policy add-ons) for short-term rentals. This can extend limited coverage for occasional hosting.

🏠 Purchase a Host Protection Policy

• Certain platforms, like Airbnb, offer host protection insurance — but this coverage is not comprehensive and shouldn't replace proper insurance.

🏘️ Get Landlord or Short-Term Rental Insurance
If you're regularly renting to short-term guests, consider a specialized policy such as:

• Landlord Insurance (for long-term tenants)
• Short-Term Rental Insurance (tailored to frequent Airbnb/Vrbo hosting)

These policies can cover:

• Guest injuries
• Theft or vandalism by renters
• Loss of income due to property damage
• Legal defense costs

What About Long-Term Renters?
If you lease out a home (or part of it) for an extended period, a standard homeowners policy will typically not cover rental activity. In this case, you’ll need landlord insurance, which includes:

• Property protection
• Liability coverage for tenant injuries
• Optional add-ons for loss of rental income

You should also require your tenants to carry renters insurance, which protects their personal belongings and may provide them with liability coverage.

Extra Tips for All Hosts
Regardless of how you're hosting, here are some best practices:
✅ Inspect your home regularly for hazards (loose handrails, slippery floors, etc.)
✅ Disclose any known issues to guests or renters
✅ Secure valuables or store them in a locked room
✅ Keep a record of bookings and guest communications

Final Thoughts: Know Before You Host
Whether you're welcoming a friend for the holidays or earning extra income from short-term rentals, your homeowners insurance might not provide the full protection you think it does. Hosting can be rewarding — but it also carries risks that need the right kind of coverage.

Before you hand over the keys, talk to your insurance agent and make sure your policy reflects how you’re using your property. With the right coverage, you can host confidently — and avoid costly surprises down the road.

​At Roper Insurance Services, we are dedicated to providing our clients with comprehensive and affordable insurance policies. Our commitment extends to going the extra mile to address your specific needs. To learn more about how we can assist you, please contact our agency at (828) 697-6709 or  CLICK HERE to request a free quote.

Disclaimer: The information presented in this blog is intended for informational purposes only and should not be considered as professional advice. It is crucial to consult with a qualified insurance agent or professional for personalized advice tailored to your specific circumstances. They can provide expert guidance and help you make informed decisions regarding your insurance needs.