What Homeowners Should Know Before Listing on Airbnb or VRBO
Short-term rentals have exploded in popularity across Wisconsin. From cabins in the Northwoods to homes in Green Bay and Door County, many homeowners are turning spare rooms, guest houses, and vacation properties into income opportunities.
Platforms like Airbnb and VRBO make it easier than ever to become a host.
But before listing your home, one important question often gets overlooked:
Does your homeowners insurance cover short-term rentals?
At NS Insurance in Green Bay, we help Wisconsin homeowners understand how hosting guests affects their insurance coverage — and how to protect their home, income, and liability exposure.
Why Short-Term Rentals Are Growing in Wisconsin
Travelers increasingly prefer short-term rentals because they offer:
- More space than traditional hotels
- A local, home-like experience
- Unique property options
- Competitive pricing
For homeowners, hosting can generate extra income from:
- Spare bedrooms
- Guest houses
- Vacation properties
- Entire homes when traveling
But turning your home into a short-term rental also changes your risk exposure — and your insurance needs.
3 Essential Tips for First-Time Short-Term Rental Hosts
Before listing your property, it’s worth preparing your home and your business plan.
Pricing Your Rental
Start by researching similar listings in your area.
Look at:
- Airbnb listings in your city
- VRBO properties nearby
- Comparable homes with similar amenities
Competitive pricing helps attract bookings while maximizing revenue.
Seasonality also matters in Wisconsin, where summer tourism and football weekends in Green Bay can significantly impact demand.
Marketing Your Property
Strong listings start with strong photos.
Make sure your listing includes:
- Bright, high-quality images
- Clear descriptions of amenities
- Honest explanations of your space
Travelers value transparency. Overselling a property can lead to negative reviews and lower booking rates.
Hospitality & Guest Experience
Great hosts focus on small details.
Consider providing:
- Toiletries like shampoo and soap
- Clean linens and towels
- Kitchen basics or pantry items
- Clear check-in instructions
A comfortable, welcoming environment leads to better reviews and repeat bookings.
How Insurance Works for Short-Term Rentals
Insurance for short-term rentals can be complicated because many standard homeowners policies do not automatically cover rental activity.
There are two major coverage considerations.
Coverage From Your Listing Platform
Some booking platforms provide limited protection for hosts.
For example, certain platforms offer host protection programs that may include liability coverage.
However, these programs often have limitations:
- Coverage may be secondary
- Property damage may be restricted
- Certain incidents may be excluded
Relying solely on platform protection can leave coverage gaps.
That’s why it’s important to review your personal insurance policy as well.
Your Own Insurance Coverage
If you plan to rent your home to guests, you should discuss the situation with your insurance agent.
Depending on the property and how often it’s rented, you may need additional coverage.
Renting Out Your Primary Home
If you plan to rent your primary residence — whether it’s a spare room or the entire house — your policy may need a home sharing endorsement.
For Erie homeowners policies, this endorsement allows homeowners to rent out their property for short-term stays while maintaining appropriate liability protection.
Renting Out a Separate Rental Property
If the property is used exclusively for renters or guests, a landlord or rental property insurance policy is usually more appropriate.
These policies are designed specifically for rental activity and may include protection for:
- Liability related to tenants or guests
- Property damage caused by renters
- Loss of rental income after covered damage
Why the Home Sharing Endorsement Matters
The home sharing endorsement offered with Erie homeowners policies is designed for short-term rentals of primary residences.
It may provide additional protection if:
- A guest is injured on your property
- A renter’s belongings are damaged during their stay
- A property incident leads to liability claims
Coverage typically aligns with the liability limits on your homeowners policy, which often range from $100,000 to $1 million.
In many cases, the endorsement can be added at a relatively low cost compared to the protection it provides.
Liability Risks Short-Term Rental Hosts Should Consider
Opening your home to guests introduces new risks, including:
- Slip-and-fall injuries
- Property damage claims
- Guest disputes
- Liability lawsuits
Having the right insurance coverage ensures your personal assets are protected if something goes wrong.
Frequently Asked Questions About Short-Term Rental Insurance
Does homeowners insurance cover Airbnb rentals?
Not always. Many policies exclude business activity or rental income unless special endorsements are added.
Do Airbnb or VRBO provide insurance?
Some platforms provide limited host protection, but it may not fully replace a properly structured homeowners or landlord policy.
Do I need special insurance if I rent out my home occasionally?
Possibly. Even occasional rentals may require a home sharing endorsement or policy adjustments.
Talk to a Wisconsin Insurance Agent Before Listing Your Property
Short-term rentals can be a great way to generate additional income — but it’s important to make sure your insurance coverage keeps up with how your property is being used.
At NS Insurance, we help homeowners throughout:
- Green Bay
- Door County
- De Pere
- Suamico
- Northeast Wisconsin
review their coverage and identify the right insurance solutions for short-term rental hosting.
Call NS Insurance today at (920) 264-9791 to review your homeowners insurance and make sure your property is properly protected.
Hosting guests should be exciting — not risky.