• Purchase the right coverage. Regularly renting out rooms for a profit may be considered a home-based business. In some cases, homeowners policies may not cover damage to your home or the items in your home caused by a paying guest, or protect against liability if a guest suffers an injury. You should talk to the home-sharing service and your own insurance agent to determine if additional liability coverage or special landlord insurance is needed. Some home-sharing companies offer host protection guarantees to cover disputes between owners and renters.
• A new type of coverage available in the surplus lines market, called “home-share business multi-peril insurance,” is specifically designed to provide protection for homeowners utilizing home-sharing apps such as Airbnb or Vacation Rental by Owner (VRBO). This insurance is issued by a non-admitted insurer not under the jurisdiction of the Maryland Insurance Commissioner. Home-share business multi-peril policies will protect a homeowner in the event of property damage or theft, as well as providing coverage for some forms of liability that may arise from the home-sharing transaction. These policies are designed to cover the combination of risks that homeowners are likely to face in the home-share market.
• Ask for proof. Consider only renting to guests who show proof of homeowners, renters or personal liability insurance. If a guest damages rented property, hosts can report a claim on the guest's policy.
• Review your personal policies. Consumers staying in accommodations secured through a service, such as Airbnb or VRBO, should confirm their homeowners, renters or personal liability insurance policies offer protection for potential damages to the rental property. If not, make adjustments as needed.
• Check the terms of use. Home-sharing user agreements change often. Read the fine print every time.

FAQs
What is homesharing?​

Homesharing, or peer-to-peer home rental, is when a homeowner rents a room or their home to a stranger via an app or a website like Airbnb, VRBO, Roomorama and HomeAway.

​Do I need to inform my​​ homeowners insurer ​​if I use my home for ​​homesharing or peer-to-peer​​​ rental?

​Regularly renting out all or part of your home for a fee may be considered a homebased business. Your homeowners policy may not cover damage to your home or the items in your home caused by a paying guest; and may not protect you from liability if a guest suffers an injury. You should talk to the homesharing service and your insurer or insurance producer to determine if additional liability coverage or special landlord insurance is needed. Some homesharing companies offer host protection guarantees to cover disputes between owners and renters. The Maryland Insurance Administration does not regulate homesharing facilitators like Airbnb, etc.​

What type of policy ​do I need​ if I want to share my home?

Consult with your insurer or insurance producer to analyze your risks and determine what type of coverage is needed to protect your personal property, liability, and your business activities.​​

I am considering renting ​​out my summer property in Ocean City. Will my homeowners insurance cover me?

If you decide to rent out your vacation home for part of the year, the insurance policy on your second home may not cover damage that occurs while the home is being rented out.

I booked an Airbnb​​​ for an upcoming vacation. ​​Will my homeowners insurance policy ​extend coverage​ to the property?

Read your rental contract closely to determine what your responsibilities are and what coverage is available from the property owner and the peer-to-peer company. Consult with your insurer or insurance producer to determine if your policy provides coverage for damage that may occur at the rental property.​​​

For more insurance tips about the sharing economy, click here​.​