SHORT-TERM RENTAL INSURANCE IN NEW YORK
Replace your current homeowners or landlord policy with Proper Insurance, the leading provider of short-term rental insurance in New York, offering the most comprehensive policy on the market.
Or Call 888-631-6680
Get Short-Term Rental Insurance in New York
New York, the Empire State, where short-term rentals like Airbnb and Vrbo offer guests a unique slice of the state’s diverse experiences. Whether you’re in the heart of the bustling metropolis of New York City, the charming tranquility of Hudson Valley, or the scenic beauty of the Finger Lakes, each vacation property in New York reflects the state’s rich culture and unique landscape.
Dog Bite Liability is Especially Costly in New York
According to the Insurance Information Institute, New York reported 1,308 dog‑bite claims in 2025, with an average cost per claim of $92,154—the highest in the United States. For short‑term rental owners, an animal‑related injury involving a guest, visitor, or neighboring property can result in medical and legal costs that quickly exceed the liability limits found in many standard Homeowners or Landlord policies.
Proper Insurance has designed a policy tailored to protect your New York property, business income, and business liability, customized to include coverage for guest-caused theft/damage, liquor liability, amenity liability (pools, hot tubs, bicycles, etc.), bed bugs, squatters insurance, wildlife encounters, and more. Replace the Homeowners or Landlord policy on your short-term rental with a short-term rental policy built for it.
Short-Term Rental Laws and Regulations in New York
New York’s approach to short-term rental regulations is diverse, with rules varying from city to city, town to town, and even neighborhood to neighborhood. It’s crucial to understand the local ordinances that apply to your specific location. The unique mix of urban, suburban, and rural settings in New York means that regulations can differ significantly. A great place to start is our guide on New York short-term rental regulations and laws.
New York Squatter Laws and Short-Term Rental Hosts
New York updated its real property law in the FY2025 state budget to formally define squatters as distinct from tenants — a meaningful shift signed into law by Governor Hochul. A squatter is now defined as someone who enters without permission and has no title, right, or permission from the owner. That said, an overstaying Airbnb guest who initially had permission and has a booking confirmation is not a clean-cut squatter under this definition — their removal may still require the formal eviction process depending on how long they have been there.
WHAT MAKES A PROPER POLICY?
Short-term vacation rentals don’t fit into one insurance category, so we developed a specialty short-term rental insurance policy that covers both commercial and personal use of your vacation rental. New York hosts and vacation rental owners face their own set of distinctive challenges. Whether it’s the harsh winter conditions in the Adirondacks, meeting safety precautions in historic homes throughout the state, insurance compliance with the seasonal tourism of the Hudson Valley, or taking a hike outside of your property in the Catskills, these varied situations highlight the need for comprehensive short-term rental insurance coverage.
WHAT MAKES A PROPER POLICY?
Short-term vacation rentals don’t fit into one insurance category, so we developed a specialty short-term rental insurance policy that covers both commercial and personal use of your vacation rental. Not sure your current policy qualifies? Check it against the five things a short-term rental policy must do
Commercial Business Liability
Secure your biggest risk as a vacation rental owner—liability. The Proper Policy carries Commercial General Liability ($1M standard, $2M optional), designed to respond whether an incident happens to your guest or because of them, on and off the property.
Building & Contents Coverage
Protect your property and contents with ‘new-for-old’ replacement cost coverage at the time of loss. Plus, with no occupancy restrictions, your coverage is designed to stay in place regardless of who you give the keys to, and even during vacancy periods.
Business Income Coverage
Retain your hard-earned income with Proper’s Business Income coverage. If a covered property loss prevents you from short-term renting your property, our policy covers actual loss sustained during the time it takes to repair the loss, with no time limit and up to the limit you select.
SHORT-TERM RENTAL INSURANCE ENHANCEMENTS
Opening your home to short-term vacation rental guests also invites several insurance risks. As short-term rental insurance specialists, we’ve spent years optimizing and enhancing our policy so you have protection for the most common and uncommon exposures STR owners face.
Property Entrustment
We protect you from theft, vandalism, and intentional or malicious damage caused by guests you rent your property to. This vital protection is excluded from standard Homeowners and Landlord insurance policies, which may leave your property and contents exposed.
Pet & Animal Liability
Our policy covers Pet and Animal Liability, with no breed restrictions or animal exclusions. Standard policies often limit or exclude this protection, leaving you exposed to costly claims, like liability for dog bites—whether you allow pets in your rental or not.
Bed Bug & Flea Protection
Proper’s policy offers first-to-market Bed Bug and Flea protection. We cover liability, extermination costs, and lost revenue from canceled bookings , ensuring you’re protected from both the financial and operational impact these pests can cause.
Squatter Protection
Our first-of-its-kind Squatter Protection is designed to cover lost business income and court costs if a guest refuses to leave. With flexible work arrangements, temporary assignments, and mid-term stays becoming more popular, guests are booking rentals for 30+ days, raising concerns about tenant rights.
Amenities On & Off-Premises
Our policy provides Amenity Liability coverage designed to protect you on and off the property. Most policies exclude or limit liability coverage for vacation rental amenities that take guests off-premises, like bikes, kayaks, and golf carts and even common amenities like pools and hot tubs leave coverage gaps.
Liquor Liability
Proper includes Liquor Liability coverage—something standard policies typically exclude. We understand people drink on vacation, so whether you’re offering wine in a welcome basket or dealing with left-behind liquor that ends up in the wrong hands of the next guests, you can be confident in your coverage.
PROPER’S DEDICATED RISK MANAGERS
Because we only serve the vacation rental industry, our dedicated risk managers know short-term rental insurance inside and out. We are proud of our customer feedback and our outstanding agents who make it all possible.
“I called several companies to get a policy. All required multiple days to offer a solid quote. Several came back and couldn’t meet the limits requirement. Proper Insurance came through like rock stars! Same day quote. Same day binding (so we could meet our closing date) AND BY FAR best pricing and coverage offered.”
“My representative was Rikki Valiance who actually made the experience exceptionally easy. She was knowledgeable. She completely answered all my questions, and she was an expert in the type of short term rental property I was insuring. I would recommend her and Proper Insurance to anyone.”
“Proper Insurance is who I trust after 10 years of renting. They have seen me (owner/manager) and my clients, whom I rent for, through good and bad. They are THE insurance for vacation rentals covering not just the home but $1M in liability (a huge issue for renting) also lost income due to damage to the home if issues make it unrentable. AND MOST IMPORTANTLY – they deliver on their promise, I have tested it.”
“Ashley from Proper Insurance is the best insurance agent I have ever worked with. She is extremely responsive, reliable and efficient. She also goes the extra mile to structure my coverage for the best price possible. As a long time realtor and an owner of multiple short term rental properties, I highly recommend Ashley and Proper Insurance for all your rental property needs. The best of the best.”
New York Airbnb & Short-Term Rental Insurance FAQs
Is short-term rental insurance available across New York State, including the Catskills, Finger Lakes, and the Hudson Valley?
Yes. Proper covers short-term rentals throughout New York State, including popular vacation rental markets in the Catskills, Sullivan County, the Finger Lakes, the Hudson Valley, the Adirondacks, Lake George, Saratoga Springs, Fire Island, the North Fork of Long Island, and the Hamptons. If you own or operate a vacation rental anywhere in New York, you can get a quote through Proper.
What do New York’s short-term rental laws mean for my insurance coverage?
New York does not have a single statewide STR permit system, but local rules vary widely and some are among the most restrictive in the country. In New York City, Local Law 18 requires owner occupancy during all short-term stays and limits guests to two at a time — making investment-property STR operations essentially prohibited within the five boroughs. Outside NYC, upstate markets like the Catskills and Finger Lakes have more accessible frameworks, though individual municipalities may require permits and impose occupancy taxes. In every New York market, standard Homeowners and Landlord policies typically restrict or exclude guest damage and short-term rental business activity, which leaves hosts exposed. Proper Insurance fills that gap with commercial-grade coverage built specifically for STR operations.
Does Airbnb’s AirCover cover my New York vacation rental?
Not adequately. AirCover is not insurance: it has exclusions, payout caps, and no binding obligation to cover a claim. Proper Insurance is the only company endorsed by Vrbo as their preferred insurance provider, and it replaces your Homeowners or Landlord Policy with a commercial-grade policy designed for short-term rental operations.
How much does short-term rental insurance cost in New York?
Cost varies by property location, replacement value, and coverage limits selected. A Catskills cabin, a Finger Lakes vineyard cottage, and a Fire Island beach house all carry meaningfully different risk profiles. Proper provides quotes tailored to each property. The best way to get an accurate number is to request a quote through proper.insure or u003ca href=u0022tel:888-631-6680u0022 data-type=u0022telu0022 data-id=u0022tel:888-631-6680u0022u003ecall Proper Insurance at 888-631-6680u003c/au003e.
Latest
Resources
Which Short-Term Rental Amenities Create the Most Liability Risk?
Do Liability Waivers Truly Protect Short-Term Rental Hosts?
Homeowners Insurance Does Not Cover Airbnb
