Vrbo Damage Insurance: Comprehensive Coverage for Your Vrbo Property

Standard homeowner’s insurance won’t protect your second home if it’s used for business purposes.

This leaves your vacation rental property and business exposed to the risk of vandalism, property theft, or even an infestation of bed bugs. Save yourself the headache, wasted money, and possible lawsuits with short-term rental insurance, also known as vacation rental insurance.

Vrbo insurance coverage offers you several ways to insure against possible accidents that could damage your property or its contents or injure your guests. However, none are as comprehensive and streamlined as vacation rental insurance from Safely. Here’s a look at the insurance coverage you get from Vrbo.

How Does Vrbo Insurance Protect Hosts?

Vrbo doesn’t offer the comprehensive insurance coverage you need for your short-term rental. However, it has a preferred insurer it works with across the United States to provide coverage for your structure and its contents, loss of income, and liability.

Through Vrbo, you can get a homeowner’s insurance policy that provides up to $1 million in liability coverage in the case of bodily injury to guests or damage they may cause to a neighboring property. The policy is automatically available to hosts and property managers at no additional cost.

This is a case where you get what you pay for. If you pay nothing, you don’t get the protection your short-term rental business needs. The limited liability coverage leaves hosts and property managers exposed and your property and its contents at risk.

Vrbo acknowledges its policy’s shortcoming: that it doesn’t cover the damage a guest may do to your home. It suggests you obtain coverage to insure against property damage.

To protect from liability claims from accidents on your property, get a comprehensive vacation rental insurance package from Safely. Safely can also help cover losses from damage or theft of your property’s contents and damage to the structure. 

What Does Property Protection From Vrbo Look Like?

Since there is no Vrbo damage insurance, the burden falls on you to decide how you will protect your property when a guest makes a reservation. Vrbo suggests that you have your renters purchase property damage protection (PRP) insurance or have them pay for damages on their own.

To get this done, you have to talk to the renters. Vrbo suggests you communicate your expectations about the upkeep of the property, possibly even having your guests sign a rental agreement in case there is a disputed claim later on. Beyond that, Vrbo has two additional methods for you to protect your property:

Vrbo Damage Deposit

The default option for Vrbo is for you to set a non-refundable damage amount that Vrbo will charge if your guests damage your property. You get 14 days after your guests check out to contact Vrbo with your claim, and Vrbo will charge the amount to the renter’s credit card.

The other option is for Vrbo to charge a refundable deposit up front when guests book your property. Vrbo will hold the deposit throughout the stay. If you don’t file a claim within 14 days, the deposit is returned to the renter. 

Vrbo Damage Protection

Guests can also purchase PRP insurance. You decide what the amounts will be for deposits for damages and suggest levels of coverage. That said, a guest gets to decide, “Do I need Vrbo insurance?”

For this protection, guests have the choice of paying the full coverage amount up front as a refundable security deposit or paying the lower, non-refundable cost.

How to Make a Claim With Vrbo’s Insurance Program

Whether your guests choose to purchase the PRP or place a security deposit, the process for filing a claim is the same:

Log into your Vrbo account, select your guest, report the damage and the amount you wish to claim (which must not exceed the deposit amount), and finally, enter a description of the damage, which will be shared with the guest.

Limits and Recommendations

• You have 14 days after check-out to assess the property and file a claim.
• Valid claims are covered up to the maximum deposit amount (between $1500-$5000)
• Before filing the claim, Vrbo encourages you to contact guests and discuss the details of the damage, explain how much you intend to charge, and share photos of the claim

Safely’s Fast and Easy Claims Process

By contrast, Safely makes filing a damage claim fast and simple.

1. Take a picture of the damage
2. Submit your claim

No need to chase after your guests or worry about them filing a dispute about the damage. Just submit the claim and receive your payment in as little as four days.

Safely’s Comprehensive Coverage for Your Vrbo Properties

Safely’s accidental damage protection gives you comfort in knowing your property is protected. This is what your Safely coverage looks like:

• $10,000 in coverage for property contents and belongings
• $1,000,000 in coverage for structural damage, including labor and material costs
• $1,000,000 in coverage in case of bodily harm to your guests

Furthermore, Safely makes it easy to know who’s staying in your vacation rental with our automated guest screening service. While Vrbo background checks happen, they’re entirely optional, which does nothing to deter problem guests from making their way into your home.

All Safely needs is your guest’s name, birth date, and address to begin scanning courthouse and criminal databases, running a credit check, and cross-checking your guest against our records of people who have caused damage to vacation rental properties in the past.

This is comprehensive protection for your valuable property.

Get the Comprehensive Protection You Need for Your Vrbo Property

If you’re looking to protect your Vrbo short-term rental properties without having to negotiate with each guest, you should consider Safely for comprehensive insurance coverage and added guest screening service.

Reach out to a Safely team member today.

Frequently Asked Questions About Vrbo Damage Insurance

How do you charge damage on Vrbo?

Submit photos and a description of the damage within 14 days. Vrbo encourages you to contact your guests first to reduce the chance of them disputing the damage claim.

What is the cost of damage protection on Vrbo?

Owners pay nothing for damage protection, which comes from either an insurance policy or a refundable damage deposit paid by guests when they complete their rental agreement.

What does Vrbo do when I charge damage?

If the guest doesn’t file a dispute, Vrbo will transfer the requested amount (up to the coverage total) within 3-7 business days, even if they are unable to collect the money from the guest due to an invalid credit card. Costs incurred more than your guest’s deposit (between $1500 and $5000) remain your responsibility.

Is damage protection on Vrbo refundable?

The cost of their damage insurance is not refundable. However, if guests opt to put down an out-of-pocket security deposit, it will be returned between 7 and 14 days after their stay. Many guests don’t like the security deposit, which can affect occupancy rates.

What’s the best way to protect my Vrbo property from damage?

Comprehensive short-term rental property insurance from Safely, covering bodily harm to guests and structural and property damage protection, is the best choice for your rental property.