Why Property Owners Should Worry About Liability

Life’s always a little better when you don’t have things to worry about. That’s why we’re loathe to say that if you’re a vacation rental owner who does not have the right kind of coverage, you should be worried.One of the biggest risks a property owner has is liability. And if you’re relying on homeowner’s insurance for your Airbnb or FlipKey property, then you’re likely not covered!

A couple shakes hand with a woman over a table of papers.

What Is Liability?

Liability is defined as the state of being legally responsible for something. When you rent out your home, you become legally responsible for your guest’s wellbeing and safety. Legally, you’re considered a business owner and if your guest is hurt while on your property, you could be held responsible for their medical bills and damages. This is true even if you’re not directly responsible for their injury! As you can see, this is a serious concern for both small-time and large property owners.

Could you imagine being responsible for a broken arm or an injury that leads to permanent disability? The medical costs alone could add up to hundreds of thousands of dollars.

Lawsuits in Vacation Rentals

When a guest is injured and they decide to file a lawsuit, you’ll need to defend yourself in court. This is usually true even if you’re not responsible. At the very least, you’ll need a lawyer to defend yourself. Unfortunately, this means even if the court finds you not responsible for medical damages, you’ll still be left with considerable legal bills.

Vacation Rental Insurance Is Important

Even if you’re only renting out your property a couple of times a year, one incident could seriously devastate your finances. If you’re listing your home on property rental services like Airbnb, FlipKey, VRBO, or HomeAway, make sure you’re covered first.

About the Author

Proper Insurance

Proper Insurance is the nation's leading short-term vacation rental insurance provider, with the most comprehensive policy on the market. We protect homes in all 50 states with unmatched coverage for your property, revenue, and business liability, customized to include guest-caused theft/damage, liquor liability, amenity liability (bikes, kayaks, hot tub, etc.), bed bugs, fleas, squatters, and more.


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