Short-term rental insurance protects you from the property and liability risks that can arise from short-term rentals. It can usually be purchased as an add-on to existing policies, but you can also buy it as a separate coverage.
Short-term rental insurance commonly includes protections against the following:
Loss of income if your guests cause damage that prevents you from continuing to rent out your home
Property damage if repairs or replacements are needed after damage occurs to your property
High utility costs if your guests use an excessive amount of electricity during their stay
Infestation if there is a problem with bed bugs, mice or other vermin at your rental property
Liquor liability if your guest injures themselves or others after consuming alcohol on your property
General liability if you are held responsible for bodily injury or property damage to a third party