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Airbnb allows average homeowners to rent out their properties to visitors. However, visitors sometimes get hurt while on the property -- which can be a serious problem. Homeowners' insurance policies may provide limited or no coverage when a house is being rented through Airbnb, particularly since most policies exclude business use. 

That said, homeowners are put at significant risk of losing personal assets if a lawsuit occurs and their homeowner's insurance policy does not cover costs. Victims are also at risk of suffering financial loss after injuries for which they cannot obtain full compensation due to limited insurance coverage.

These problems must be addressed for homeowners to feel confident renting their homes and for guests to feel comfortable staying in the rented accommodations. Accordingly, CNET reports that Airbnb is taking steps to beef up its insurance offerings to provide broader and better protection.  This is good news for those who sustain injuries while renting a room or a home via Airbnb.  Randall Spivey and his team of Ft. Myers personal injury lawyers can provide representation to victims who get hurt, as well as to surviving dependents and close family members of those killed in accidents while renting though Airbnb.

Better Liability Insurance Available from Airbnb

According to CNET, Airbnb's insurance program has always offered up to $1 million in liability protection, which can provide payment for personal injury or wrongful death losses. Now, however, the company will be upgrading its coverage to be primary insurance rather than secondary insurance.

Under the old system, a homeowners' insurance policy or other applicable policies were considered the primary policies and Airbnb would only pay excess costs or expenditures exceeding those covered by the primary provider. Now, the liability coverage Airbnb offers will be the first source of payment when something goes wrong and injury happens.  The new primary policy is available to approximately one million hosts across 16 different countries, regardless of what other insurance coverage the host is otherwise carrying.

Airbnb's policy covers a variety of situations, including injuries a guest sustains when in or around a host's property, as well as accidents that affect surrounding properties, such as water leaks that cause damage to neighboring condos or apartments.  The liability policy is automatically provided when a host makes a booking, as long as the host lives in one of the countries included in the program.

The liability insurance coverage being offered by Airbnb is an important form of protection to those who wish to stay in a rental, especially since hotels and other businesses in the hospitality industry usually have sufficient insurance to cover losses and private homeowners don't.  Victims could face the risk of medical bills they cannot pay and other financial struggles if there is insufficient liability coverage.

Airbnb's decision comes at a time when there is increasing litigation over the responsibilities of companies that facilitate the sharing economy. Companies like Airbnb and Uber connect people who provide services to other customers.  These facilities don't provide services themselves, other than making the initial connection--- but victims hurt in Uber cars and in Airbnb locations have increasingly been turning to the big companies (with deep pockets) to pay for damages.

If you are hurt while staying at an Airbnb-recommended location, while riding in an Uber car, or in any other situation where someone else harmed you, you must know your rights. Contact the Spivey Law Firm, Personal Injury Attorneys, and P.A.as soon as possible for guidance regarding your legal options and obtaining compensation for losses.