Airbnb Host Insurance - What Do You Need?

Airbnb Insurance UK

Offering out your property on Airbnb can be a lucrative option for anybody looking to earn a little extra money while they’re away from home. It’s not designed to be an alternative to long-term letting, but that doesn’t mean it can’t be highly valuable for anyone taking a holiday for a few weeks or for landlords looking to bridge the gaps between long term tenants.

The average Airbnb host in the UK earned approximately £6,200 in 2025—a significant increase reflecting higher post-inflation nightly rates and a robust domestic tourism market. While the typical stay remains around 3 to 4 nights, host revenues are being impacted by new local authority licensing fees and stricter tax regulations. Crucially, standard home insurance still excludes commercial hosting, making specialized holiday let or Airbnb-specific insurance a mandatory requirement to protect your property and liability.

But it shouldn't cost much more than regular home insurance. And while Airbnb does provide some insurance to help with certain risks for hosts and guests alike, it's important to understand what this covers. Here’s what you need to know about the insurance that is offered by Airbnb.

• Does Airbnb provide hosts with insurance?
• What does Airbnb insurance cover?
• Do I need insurance to host with Airbnb?
• Does Airbnb have insurance for guests?
• How much is Airbnb host protection insurance?
• Additional FAQ’s

Does Airbnb provide hosts with insurance?

Airbnb does offer hosts some protection, but not insurance. Airbnb now offers hosts something called "AirCover for hosts", which you can read more about down below.

When it comes to the word ‘insurance’ there can be some confusion also—the AirCover protection isn’t technically a form of insurance (although confusingly it includes some insurance...), more so a promise of sorts from Airbnb to hosts that they’ll support financially if a guest causes damage to property; and it includes liability insurance in the package as well. This means Airbnb sets its own terms and conditions, and isn’t answerable to an underwriter or any form of independent adjudication, as they reserve the right to compensate hosts as they see fit.

What does Airbnb cover?

Airbnb now protects hosts through its comprehensive 'AirCover for Hosts' program. This includes $3 million (USD) in damage protection (triple the previous limit) and $1 million (USD) in host liability insurance. While these limits are substantial, AirCover is a guarantee from Airbnb rather than a standard insurance policy; it excludes certain high-value items and 'wear and tear.'

To reiterate, host damage protection isn't an insurance policy, and not all damage is included within its terms, so Airbnb suggests owners also purchase personal insurance for any property damage caused by guests that they don't protect.

For 2026 hosts, especially those with high-end UK properties, a dedicated 24/7 holiday let insurance policy is still needed to fill the gaps in AirCover's protection.

Do I need insurance to host with Airbnb?

Legally, you might not need any additional insurance to host with Airbnb. However, keep in mind that your standard home insurance is very unlikely to cover you for any damages or theft if you have paying guests. While the AirCover for Hosts mentioned above should take care of certain risks like damage by guests, hosts online do complain the process can be difficult (and from comments online, can often refuse to pay out cases that other insurers would cover).

One thing you won’t need to worry about is rent guarantee insurance, as Airbnb handles rental payments for you and covers this.

While many hosts do choose to run their Airbnb property without additional insurance, that's a risk—if something does go wrong, it can be expensive (and you’ll be losing income while any repairs are completed). Proper insurance can help you avoid taking too much of a hit as a result of any issue that might arise.

Every host will likely want a slightly different Airbnb host insurance policy, but here are some of the coverages you’re most likely to want to consider:

Does Airbnb provide insurance for guests?

In 2026, guests are protected by 'AirCover for Guests,' which is included for free with every booking. If a host cancels within 30 days of check-in, or if the listing is significantly misrepresented (e.g., the heating doesn't work or there are fewer bedrooms than promised), Airbnb will assist in finding a similar or better home, or provide a full refund. This rebooking assistance provides a much higher level of security for travellers than the simple refund policy offered in previous years.

If you’re looking for better coverage as an Airbnb guest past a basic refund, you’ll want to consider travel insurance. It can offer coverage for cancellations or interruptions (with a valid reason, of course). Some policies can also include ‘Cancel for Any Reason (CFAR)’ coverage, which as the name suggests covers you to cancel your booking for any reason.

If you’re a guest and you need to cancel a booking you’re unlikely to receive a full refund, even in the presence of extenuating circumstances such as an illness. The end value of your refund will depend on a few circumstances, such as:

If there is a genuine reason you can’t travel, or there’s an issue with the property when you arrive or while you’re staying, you may be eligible to a partial/full refund. You can check out the Airbnb Guest Refund guide if you want more information, but here are a few of the circumstances that would allow for a full refund:

You’ll need to submit a claim within 24 hours of noticing the issue (usually upon arrival) with photos, videos and additional information for Airbnb so they can start their investigation. Keep in mind your refund might not be immediate while they carry this out.

How much is AirCover for hosts?

Airbnb’s AirCover for hosts is provided to all hosts free of charge, and you’re automatically signed up when you list your property on Airbnb.

It includes guest identity verification, reservation screening, $3M Host damage protection, $1M Host liability insurance, $1M Experiences & Services liability insurance, and a 24-hour safety line.

All in all, while AirCover for hosts is a useful tool, you shouldn’t rely on it entirely to protect your property. If you have any questions about the alternative coverages that are available to you, read our guide to Landlord’s insurance.

FAQ’s