Airbnb and Premises Liability Coverage

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Airbnb guests (and hosts) have faced a true conundrum when it comes to premises liability coverage and Airbnb vacation rentals. To be sure, many guests and hosts ask the same question: if you get injured while staying at someone else’s rental, who is liable?

Should you care about any of this if you do not host or rent Airbnb rentals? Possibly; experts have suggested that these issues could end up raising homeowners’ insurance rates for everyone.

Homeowner’s Insurance Policies

While many homeowners’ insurance policies state that they do not cover injuries incurred while property is being used for commercial purposes (i.e. a profit is being made by renting it out on Airbnb), some actually do allow for various exceptions, including providing liability coverage for anyone who stays in your home for a certain period of time.

Airbnb $1 Million Secondary Premises Liability Coverage

In addition, cities are starting to address this issue via regulations; Specifically, a new ordinance passed in San Francisco requires all Airbnb hosts to have at least $500,000 in premises liability coverage. This has arguably prompted Airbnb to offer $1 million secondary liability coverage, as of this year.

But can guests and hosts trust this secondary liability policy that Airbnb has purchased to cover all the rentals on its site? This is the company that violated a number of local ordinances in order to get its lodging website up and running in the first place. In addition, Airbnb’s annual policy limit is $10 million, meaning it would, at a maximum, cover 10 people with $1 million claims each.

It remains to be seen, as anyone who is injured or killed at a host’s home due to a defective or dangerous condition will need to hold someone accountable for their injuries or wrongful death, and they have a right to do so under premises liability law. It is important to note that other similar services—like HomeAway—do not offer similar coverage, but rather urge host/homeowners to simply buy comprehensive coverage.

Are People Actually Hurt Or Injured On These Properties?

How often are there accidental deaths or injuries on these properties? Although Airbnb has looked at this data internally, it refuses to share it with the public or media.

However, this hasn’t prevented media sources from covering serious, tragic accidents in Airbnb vacation rentals. One renter was killed when he went to use the rope swing and suffered major brain damage when the trunk it was tied to broke in half and fell on him. At another location, there was a death due to carbon monoxide poisoning.

Louisiana Premises Liability Lawyers

If you are injured—or a loved one is killed—on someone else’s property, you may be able to hold them accountable, regardless of whether you were renting or visiting the property. Property owners have a legal responsibility to ensure that their property is safe. Under the law, any victims can seek compensation for associated bills, lost wages, and other expenses.

If you have any questions about premises liability law, contact one of our New Orleans attorneys at Harrell & Nowak. We can help.