The Ultimate Guide to Airbnb Short-Term Rental Insurance in Ontario

As the popularity of Airbnb and other short-term rental platforms continues to soar in Ontario, the importance of securing the right insurance coverage for your property cannot be overstated. This guide highlights the leading insurance providers in the province, offering specialized solutions to protect your investment against the unique risks associated with short-term rentals.

What is short-term rental insurance?

Short-term rental or home-share insurance is insurance for landlords or homeowners who rent out their primary home or vacation property for a short period of time, usually up to six months.

You might also see it offered as Airbnb insurance, but we’ll get to that later.

Short-term rental insurance vs. homeowners insurance

If you are planning on renting out your primary home on a short-term basis, it’s a good idea to talk to your primary home insurance provider and see if your current policy covers you for short-term rentals.

If you’re planning on renting out your property on a regular basis, your regular home insurance probably won’t cover any damage. That’s because most home insurance policies can be invalidated if homes are unoccupied for more than 30 to 90 days. In the eyes of the insurance provider, the longer you’re away from the property, the greater the risk of a peril happening and not being tended to.

Short-term rental insurance, however, can provide additional coverage.

What does short-term rental insurance cover?

Short-term rental insurance covers more than theft and damage. Most policies will also cover:

• Accidental and deliberate damage caused by guests or tenants

• Theft by guests and tenantsLegal liability

• A loss of income in case guests damage the property and make it inhabitable

• The cost of utilities if guests get too enthusiastic about using water or hydro.

• The cost of having to replace the keys and change the locks

Why Short-Term Rental Insurance is Essential

Hosting on platforms like Airbnb, VRBO, and HomeAway introduces a set of risks and liabilities that standard home insurance may not cover.

From property damage inflicted by guests to liability issues, short-term rental insurance is designed to fill these gaps, ensuring hosts are not left vulnerable to financial losses.

Premier Short-Term Rental Insurance Providers in Ontario

Square One Insurance Services

Square One provides flexible home insurance policies that can be customized to include short-term rental coverage, allowing hosts to select specific protections for their Airbnb properties. Customize your policy at Square One.

Desjardins Insurance

Desjardins extends its home insurance offerings to include coverage suitable for short-term rental scenarios, recognizing the need for hosts to protect themselves against the unique challenges of home-sharing. Discover Desjardins Insurance solutions

Zensurance

Zensurance rounds out the list with its tailored Airbnb insurance solutions, designed to meet the specific needs of short-term rental hosts in Ontario. Offering easy online quotes and policies that address the unique aspects of short-term renting, Zensurance is a go-to for hosts seeking reliable coverage. Get a quote from Zensurance

APRIL Canada

APRIL Canada offers insurance tailored for Airbnb and HomeAway hosts, covering various property types across Canada. Their policies are designed to offer peace of mind to hosts seeking comprehensive protection for their rental activities. Learn more about APRIL Canada

Mitch Insurance Brokers

Mitch Insurance Brokers specialize in ImageAirbnb insurance, providing coverage for property damage, theft, and vandalism. They collaborate with a range of insurers to ensure homeowners find the best fit for their short-term rental insurance needs. Explore options with Mitch Insurance Brokers.

Insurance Hero

Insurance Hero is renowned for its expertise in Airbnb and short-term rental insurance in Ontario, offering custom solutions to protect hosts against the inherent risks of renting out their properties. Request a quote from Insurance Hero

Tanner Insurance (Cottage)

Tanner Insurance delivers policies specifically designed for the needs of Airbnb hosts in Ontario, emphasizing coverage that addresses the specific operations of short-term rentals. Their expertise ensures hosts can navigate the complexities of rental insurance with confidence. Contact Tanner Insurance for more information

Heartland Mutual Insurance

Heartland Mutual Insurance provides targeted insurance solutions for short-term rental properties, focusing on comprehensive coverage for the risks and liabilities unique to hosting on platforms like Airbnb. Explore Heartland Mutual Insurance offerings.

The Benefits of Specialized Short-Term Rental Insurance

Opting for insurance that caters specifically to short-term rentals offers several key advantages:

Tailored Coverage: Policies are designed with the unique aspects of short-term renting in mind, providing hosts with coverage that meets their specific needs.

Liability Protection: Enhanced liability coverage ensures hosts are protected in case guests incur injuries on the property.

Property Damage Protection: Coverage includes repair or replacement costs for damages caused by guests, safeguarding your investment.

Conclusion

Choosing the right short-term rental insurance provider is crucial for Airbnb hosts in Ontario looking to protect their property and ensure the success of their rental venture.

Relying on somewhere like Airbnb or Vrbo’s coverage may not cover the damage that could happen to your home when renting it out, so consider getting short-term rental insurance. It can give you the security and control required in case something happens to your income property or your primary home.