STR Insurance: The Risky Business of Hosting (and How to Avoid the Pitfalls)
So, you’ve got a dreamy short-term rental (STR) property ready to rake in five-star reviews, but here’s the catch: hosting isn’t all fresh linens and guest selfies.
Beneath the surface of cosy stays and glowing feedback, sneaky liabilities could be lurking—and no, your insurance might not always have your back. Fear not! We’re here to uncover the most common STR insurance oversights and arm you with insider tips to keep your property safe and your guests happy.
1. The Great Escape: Dogs Gone Wild
Welcoming pets to your rental can be a huge drawcard for travellers, particularly for families and solo adventurers who never leave home without their furry friends. But while a pet-friendly listing may boost bookings, it can also increase your liability.
Picture this: a guest’s dog finds a way out of your property and decides to explore the neighbourhood. Worse yet, it has an unfortunate run-in with a neighbour or another pet. If your insurance doesn’t cover pet-related incidents, the costs could land squarely on your shoulders.
How to Keep It Pawsitive:
Set Clear Pet Rules: Clearly outline expectations in your listing, such as leash requirements, pet supervision rules, and any breed restrictions.
Escape-Proof the Property: Inspect fences, gates, and latches regularly to ensure they’re secure and free of weak spots.
Pet Liability Insurance: Add pet liability cover to your STR insurance policy or require guests to provide evidence of their own pet cover.
Communicate Early and Clearly: Upon booking, send a tailored message to guests with pets to ensure they’re fully aware of the yard setup. For properties without fenced outdoor spaces, try something like this:
“We’re so excited to welcome you and your furry friend! Please note that our property does not have a fenced yard, so your pooch will need to be closely supervised while outdoors. If this arrangement isn’t ideal, we’re happy to offer a full refund if you wish to cancel.”
Pro Tip: Include a “Pet Cheat Sheet” in your welcome pack. This could feature reminders like keeping gates shut, tying leashes to secure points, and information on nearby dog parks or pet-friendly cafés. It’s a thoughtful addition that boosts guest satisfaction and mitigates risks.
2. Baby Gear: Adorable, Yet Risky
Providing baby-friendly items like high chairs, cots, and prams can attract families to your property, but it’s a double-edged sword. These items are often subject to wear and tear, and in Australia, many baby products are routinely recalled for safety issues. If a recalled or faulty item causes harm, you could be held liable.
How to Play It Safe:
Inspect Gear Regularly: Check baby equipment after each stay for signs of wear or damage. Loose screws, frayed straps, and broken parts are all red flags.
Monitor Product Recalls: Stay updated on Australian recalls by checking the Australian Competition and Consumer Commission (ACCC) recalls website or the Product Safety Australia site.
Include a Disclaimer: Add a clause to your house rules advising guests to inspect baby equipment before use and acknowledging that it’s provided as a convenience, not a guaranteed service.
Rule of Thumb: If the amenity isn’t an official tick-box option on Airbnb or your hosting platform, it might be best avoided. Instead, partner with a local baby equipment rental service, or encourage families to bring their own gear.
A fantastic alternative is to offer your guests the option to hire baby equipment from trusted rental companies. Not only does this eliminate potential liability for you, but it also ensures that families have access to high-quality, well-maintained items for their little ones.
Why Recommend Baby Gear Hire Services?
Reduced Liability: When guests rent baby gear from a specialised company, you’re not responsible for maintaining, cleaning, or inspecting the equipment.
Professional Standards: Rental companies ensure their items meet Australian safety standards and are regularly inspected and cleaned.
Customisation: Families can choose exactly what they need, whether it’s a cot, pram, car seat, or high chair, allowing for a tailored experience.
Convenience: These companies often offer delivery and pickup services, meaning guests can have items waiting for them at your property upon arrival.
Trusted Baby Gear Hire Companies in Australia
Here are some reputable baby gear hire companies across Australia that you can suggest to your guests:
Baby By the Beach Hire (Gold Coast, Brisbane, and Byron Bay)
Specialises in baby and children’s equipment for holidays.
Offers items like prams, high chairs, car seats, and cots.
Provides delivery and setup at holiday homes or rentals.
Website: babybythebeachhire.com.au
Hire for Baby (Nationwide)
One of Australia’s largest baby equipment hire companies.
Covers a wide range of baby gear, including capsules, bassinets, and toys.
Operates through a network of local branches across Australia.
Website: hireforbaby.com
Tiny Tots Baby Hire (Sydney and Surrounds)
Focuses on baby gear rental for holidays, events, or home use.
Offers prams, car seats, cots, and even toys.
Provides a cleaning and sanitisation guarantee for all products.
Website: tinytots.com.au
BabyQuip (Worldwide, including Australia)
Connects families with local providers of baby equipment in most major cities.
Offers flexible delivery and personalised service.
Perfect for overseas guests familiar with the service.
Website: babyquip.com
Bubs on the Move (Melbourne, Geelong, and Victoria)
Specialises in prams, car seats, and travel gear for families.
Provides professional installation of car seats for added convenience.
Website: bubsonthemove.com.au
How to Integrate This Option Into Your Listing
Add a Recommendation to Your House Manual:
Include links to baby gear hire companies in your guest welcome book or digital guide. Mention that these services are reliable, convenient, and aligned with Australian safety standards.
Pre-Arrival Communication:
In your booking confirmation message, let guests know that they can arrange baby gear hire in advance. For example:
“Travelling with little ones? We recommend Hire for Baby or Baby By the Beach Hire for all your baby gear needs. They offer a range of products and deliver directly to the property.”
Partner for Discounts:
Contact local baby gear hire companies to explore partnerships. Many companies offer discounts or referral bonuses to hosts who recommend their services.
3. Slips, Trips, and Towel Trouble
A slip in the bathroom might sound like a comedic trope, but it’s no joke if it happens in your property. Even something as simple as placing a towel or bath mat on the floor could turn into a liability if a guest gets injured.
How to Stay on Solid Ground:
Reconsider Towel Placement: Resist the urge to lay out bath towels on the floor. Instead, fold them neatly on the bed or hang them on towel rails where they’re accessible but out of harm’s way.
Offer Non-Slip Options: Provide non-slip bath mats but leave their placement to the discretion of guests. This avoids any misunderstandings about their intended use.
Secure Rugs: Check that rugs and mats have a non-slip backing and ensure they’re firmly placed to prevent any movement.
Pro Tip: In your listing or guest guide, mention that bath mats and towels are provided for guest comfort but should be used as they see fit. This subtle disclaimer helps shift responsibility in case of an incident.
4. The Bunk Bed Balancing Act (and Other Furniture Faux Pas)
Bunk beds are a brilliant way to optimise sleeping arrangements for families or groups, but they can also be a source of accidents. Combine this with unsecured furniture like bookshelves or televisions, and the risks multiply.
Preventing injuries is simpler than you might think with a few proactive measures.
Steps to Furniture Bliss:
Guardrails Are a Must: Ensure all bunk beds have sturdy guardrails that meet Australian safety standards, even if children aren’t the intended users.
Anchor Heavy Furniture: Secure bookshelves, dressers, and televisions to walls using brackets or straps to prevent tipping accidents.
Set Expectations: Clearly communicate weight limits and usage instructions for bunk beds in your house manual. Guests will appreciate the transparency.
The Golden Rule: Stick to Airbnb’s Dropdown List
When you’re setting up your property listing, it’s tempting to go above and beyond with unique features to make your rental stand out. A treehouse with a zip line? Why not! A rope swing dangling over a picturesque lake? Sounds Insta-worthy! But here’s the thing: if it’s not an official tick-box amenity in Airbnb’s dropdown menu, it’s probably not a safe option from an insurance perspective.
Why the Dropdown Menu Matters
Airbnb’s dropdown menu isn’t just a tool to describe your property—it’s a carefully curated list designed to minimise risk for both hosts and the platform. If a feature isn’t included in this list, it’s often a sign that:
It’s Uncommon: Features like rope swings, trampoline parks, or unregulated watercraft aren’t standard for most rentals and could pose unusual risks.
It’s Risky: Items not listed might fall outside the scope of Airbnb’s Host Protection Insurance or liability coverage.
It’s Not Easily Regulated: Airbnb can’t standardise safety guidelines for niche features, leaving hosts to bear the brunt of any accidents or liabilities.
Examples of Risky Additions
Here are a few examples of features that seem fun but might create more headaches than they’re worth:
Rope Swings or Water Slides
Treehouses and Elevated Play Areas
Trampolines or Bouncy Castles
Watercraft or Sports Equipment
Channel Your Inner Hotelier
Hotels are experts in creating safe environments for guests while minimising liability—and there’s a lot STR hosts can learn from them.
What Hotels Do Right:
Towel Placement: Hotels never place towels or mats on floors, opting for neatly folded towels on beds or rails.
Grab Rails and Non-Slip Mats: These safety features are standard in hotel bathrooms and can easily be added to your property.
Secure Furniture: Heavy furniture is always anchored, and TVs are mounted or stabilised to prevent tipping.
By adopting these practices, you make your property safer, reduce liability risks, and give your guests peace of mind.
Final Thoughts: Hosting Smart Is Hosting Safe
Running a successful short-term rental in Australia is about more than just creating an Insta-worthy space—it’s about ensuring guests feel safe and comfortable while protecting yourself from potential liabilities. By implementing thoughtful safety measures and clear communication, you’ll build trust with guests, avoid insurance pitfalls, and set yourself up for long-term success.
So here’s to hosting smarter, safer, and with fewer worries. Cheers to happy guests, smooth stays, and a thriving rental business! 🥂
