hostfully travel insurance for guests: 2025 Truth Exposed

You’re about to book that perfect vacation rental, and at checkout, you see an option for “travel insurance” or “damage protection.” It seems to be from “Hostfully,” but what is it really? You’ve come to the right place. We’ll explain exactly what you’re being offered and help you decide if it’s the right choice for your trip.

When searching for hostfully travel insurance for guests, many travelers encounter confusion about what they’re actually purchasing and who’s providing the coverage. This comprehensive guide will demystify the entire process, compare your options, and help you make an informed decision about protecting your vacation investment.

The Traveler’s Bottom Line

Before we dive into the details, here are the essential facts you need to know:

The Critical Fact: Hostfully is not an insurance company. They are a property management software platform that allows your vacation rental host to offer insurance products from third-party specialist partners.

The Main Partners: The insurance is typically provided by specialist companies like Insuraguest or Safely, both of which focus exclusively on the vacation rental market.

What You’re Buying: You’re usually being offered two distinct types of products: Travel Insurance (which protects your trip cost if you have to cancel for a covered reason) and/or Damage Protection (which protects you from financial liability for accidental damage to the rental property).

The Verdict: It’s a convenient and often competitive option, but you should understand exactly which company is providing the coverage and what’s included before you complete your purchase.

The Partnership Explained: Who Are You Really Buying From?

Understanding the relationship between Hostfully and the actual insurance providers is crucial for making an informed decision. Here’s how the ecosystem works:

[You, The Guest] → [Book on a site using Hostfully] → [Hostfully’s software offers a product from…] → [Insuraguest or Safely] → [You are covered by their policy]

Hostfully operates as a comprehensive property management system used by thousands of vacation rental hosts and property managers worldwide. Their platform handles everything from booking management to guest communication. As part of their service offering, they’ve integrated partnerships with specialized insurance providers to offer protection products directly at the point of booking.

We’ve confirmed this structure by examining Hostfully’s own technical documentation and integration guides, which clearly outline their partnerships with companies like Insuraguest and Safely. This means when you see an insurance offer during your Hostfully-powered booking, you’re not buying from Hostfully itself—you’re purchasing a policy underwritten and administered by one of their specialist partners.

This distinction matters for several important reasons. First, when you need to file a claim or have questions about your coverage, you’ll be dealing directly with the insurance provider, not Hostfully. Second, the financial strength rating and claims-handling reputation of the actual insurance company becomes your primary concern. Third, understanding this relationship helps you compare the offering against other standalone travel insurance options more accurately.

The integration is designed to be seamless from a user experience perspective. The insurance option appears naturally in your booking flow, often with clear explanations of what’s covered and at what cost. However, the legal relationship and contractual obligations exist between you and the insurance provider, with Hostfully simply facilitating the transaction through their platform.

The Main Players: A Quick Look at Insuraguest vs. Safely

One of the most valuable insights we can provide is a clear comparison between the two primary insurance partners you’re likely to encounter when booking through Hostfully. No other consumer-facing resource offers this side-by-side analysis, making this an essential reference for travelers trying to understand their options.

Both of these companies have really carved out their niche in the vacation rental world, which is actually different from regular travel insurance. Your typical travel insurance companies like Allianz or Travel Guard are mostly worried about trip cancellations and medical emergencies. But these vacation rental specialists? They get that staying in someone’s actual home is different from staying in a hotel.

Insuraguest has built its reputation on simplifying the damage protection process. Their model essentially replaces the traditional security deposit system, which can tie up hundreds or thousands of dollars on your credit card for weeks. Instead, you pay a non-refundable fee (typically much smaller than a deposit) and receive coverage for accidental damages up to the policy limit. This provides significant peace of mind if you’re traveling with children, pets, or simply want to relax without worrying about every glass of wine near the white couch.

Safely, on the other hand, is like “why stop at damage protection?” They’ll cover that stuff, but they’ve also got you covered if you need to cancel your trip, if something goes wrong mid-vacation, and sometimes even medical stuff. If you want one solution that handles multiple problems, Safely’s your friend.

Now here’s the thing—you don’t always get to choose between them. It depends on which partner your specific host decided to work with through Hostfully. But knowing the difference helps you figure out if what you’re being offered actually matches what you need.

Travel Insurance vs. Damage Protection: What’s the Difference?

This is perhaps the most critical point of confusion for vacation rental guests, and clearing it up is essential for making the right purchasing decision. These are two fundamentally different types of coverage addressing completely different risks.

Travel Insurance protects your financial investment in the trip itself. If you book a $2,000 vacation rental for a week and then have to cancel because you get seriously ill, your child breaks their leg, or a family emergency requires you to stay home, travel insurance reimburses your non-refundable costs. The coverage limits are typically based on your total trip cost, and the policy will specify exactly which reasons for cancellation are covered (known as “covered perils” in insurance terminology).

Quality travel insurance policies also provide additional benefits beyond cancellation coverage. These often include trip interruption protection (if you have to cut your trip short), travel delay coverage (if your flight is significantly delayed), lost baggage protection, and emergency medical coverage if you’re traveling internationally. When evaluating hostfully booking protection or any travel insurance offer, you should carefully review which of these additional coverages are included.

Damage Protection, conversely, has nothing to do with your ability to take the trip. Instead, it protects you from financial liability if you accidentally damage the property during your stay. Imagine you’re cooking dinner and accidentally start a small grease fire that damages the kitchen backsplash. Or your child throws a ball indoors and breaks an expensive television. Without damage protection, the host could charge your credit card for repairs, potentially costing hundreds or thousands of dollars.

Traditional vacation rentals often require a security deposit—sometimes $500, $1,000, or even more—held on your credit card throughout your stay. Damage protection products like those from Insuraguest eliminate this requirement. Instead of tying up your credit, you pay a smaller, non-refundable fee (perhaps $59) and receive coverage up to a specified limit (often $1,500-$3,000) for accidental damages.

The confusion happens because when you’re checking out on a Hostfully booking site, you might see one, the other, or both bundled together. The button might just say “Add Protection” without really explaining which is which. My advice? Always click that “Learn More” or details link to see exactly what you’re buying.

Some properties offer damage protection only, which makes sense if the rental has a flexible cancellation policy built into the booking terms. Others offer travel insurance only, particularly if they don’t require a security deposit or have minimal concern about property damage. The most comprehensive offerings bundle both together, giving you complete protection for your vacation investment and peace of mind during your stay.

Understanding this distinction also helps you avoid duplicate coverage. If you already have excellent trip cancellation insurance through your credit card or an annual travel insurance policy, you might only need to purchase the damage protection component. Conversely, if the property already includes damage waiver in the booking price but you’re concerned about having to cancel, you might seek standalone trip cancellation coverage elsewhere.

The deductibles also differ significantly between these products. Travel insurance typically has deductibles of $0-$250 per claim, while damage protection often has no deductible at all—you’re covered from the first dollar of accidental damage up to the policy limit.

The Guest’s Checklist: Should You Buy the Insurance Offered at Checkout?

Now that you understand what’s being offered and who’s providing it, let’s walk through a practical decision-making framework. Answer these four critical questions before you click “buy”:

✅ Question 1: What company is actually providing the coverage?

Don’t just see “insurance” and assume it’s all the same. Look carefully at the checkout page for the name of the actual insurance provider. You should see clear references to companies like Insuraguest, Safely, or occasionally other specialist providers. If the provider isn’t clearly identified, that’s a red flag—contact the host or property manager before purchasing.

Why does this matter? Because you need to know who you’ll be filing a claim with if something goes wrong. You also want to verify that the provider is legitimate and has a solid reputation for claims processing. While we cannot provide real-time financial strength ratings for every specialist vacation rental insurer, established providers in this space typically work with highly-rated underwriters. For comparison, traditional travel insurance companies often hold ratings like A+ (Superior) or A (Excellent) from A.M. Best, indicating strong financial stability.

Take 30 seconds to search “[Provider Name] reviews” or “[Provider Name] claims” to see what other travelers have experienced. Look for patterns in customer feedback about claim denials, slow processing, or excellent service. This quick research can save you significant frustration if you need to actually use the coverage.

✅ Question 2: What does the policy actually cover?

This seems obvious, but many travelers skip reading the coverage details and later discover their situation isn’t covered. Click on the policy details link and look for:

For Travel Insurance:

• What specific reasons for cancellation are covered? Common covered reasons include illness, injury, death of a family member, natural disasters affecting your destination, and jury duty. Less common (and often excluded) are things like work schedule changes, fear of travel, or simply changing your mind.
• Is there trip interruption coverage if you have to leave early?
• What’s the maximum reimbursement amount? It should equal or exceed your total trip cost.
• Are there any waiting periods? Some policies require purchase within a certain timeframe after your initial booking deposit to receive full coverage.

For Damage Protection:

• What’s the max coverage? Common amounts are $1,500, $2,000, or $3,000.
• What’s not covered? Usually intentional damage, damage from breaking house rules (like sneaking in pets or smoking), and damage from doing illegal stuff.
• Is there a deductible?
• Does it cover just inside the house, or outside areas and amenities too?

For Bundled Products:

• Are you getting both types of coverage, or just one?
• What’s the breakdown of cost between the two components?
• Are there any gaps in coverage where neither policy applies?

✅ Question 3: Do I already have this coverage somewhere else?

This is where many travelers waste money on duplicate protection. Before purchasing, check these common sources of existing coverage:

Premium Credit Cards: Many travel rewards credit cards include excellent built-in travel insurance benefits. The Chase Sapphire Reserve, Chase Sapphire Preferred, Capital One Venture X, and American Express Platinum all offer trip cancellation and interruption insurance when you book travel with the card. These benefits typically cover you for $5,000-$10,000 per trip with no additional purchase required. Check your card’s benefits guide or call the number on the back to confirm what’s included.

Annual Travel Insurance Policies: If you travel frequently, you might already have an annual travel insurance policy that covers all your trips throughout the year. Check whether vacation rentals are included in your policy’s coverage.

Homeowners or Renters Insurance: Some comprehensive homeowners or renters insurance policies include liability coverage that extends to short-term vacation rentals. This might cover you for accidental damage to someone else’s property. Review your policy declarations page or call your insurance agent to verify.

Employer Benefits: Some employers offer travel insurance as part of their benefits package, particularly for companies where business travel is common.

If you’ve already got trip cancellation through your credit card but the rental doesn’t include damage protection, maybe just buy the damage part separately (if that’s an option).

✅ Question 4: What’s the price, and is it competitive?

Finally, evaluate whether the convenience of purchasing through Hostfully is worth the cost compared to alternatives. Here’s how to do a quick comparison:

For Travel Insurance: Visit a comparison site like Squaremouth or InsureMyTrip and get quotes from major providers like Allianz, Travel Guard, or World Nomads. Enter your trip details (destination, dates, cost) and compare the coverage and price to what’s being offered through Hostfully. In many cases, the Hostfully-integrated option will be competitively priced, but occasionally you’ll find significantly better coverage for the same price elsewhere.

For Damage Protection: This is harder to comparison shop because it’s a specialized product. However, as a general rule, damage protection fees of $49-$79 for a week-long stay are fairly standard in the industry. If you’re being charged significantly more, question whether the coverage limits justify the cost.

Consider the Convenience Factor: Even if you find slightly cheaper coverage elsewhere, the convenience of purchasing everything in one transaction through Hostfully has real value. You don’t need to manage multiple confirmations, policy numbers, or claim processes. For many travelers, paying an extra $10-$20 for this simplicity is worthwhile.

Watch for Mandatory Fees: Some properties include damage protection as a mandatory fee rather than an optional purchase. If this is the case, you’re paying for it regardless, so focus your comparison shopping on the travel insurance component only.

Understanding the Claims Process

Knowing how to file a claim is just as important as knowing what you bought. The process is different depending on what type of coverage you’re using and who provided it.

For Travel Insurance Claims:

If you need to cancel your trip for a covered reason, you’ll typically need to contact the insurance provider (Insuraguest, Safely, or whichever company issued your policy) as soon as possible. Most providers have a 24/7 claims hotline for urgent situations. You’ll need to provide:

• Your policy number or confirmation number
• Documentation of why you’re canceling (medical records, death certificate, employer letter, etc.)
• Proof of your original booking and payment
• Any correspondence with the property owner about cancellation

The provider will review your claim against the policy terms and, if approved, reimburse you for your covered losses. Processing times vary but typically range from 2-6 weeks for straightforward claims. More complex situations requiring additional documentation may take longer.

For Damage Protection Claims:

If you accidentally damage something during your stay, the process usually works like this:

First, notify your host immediately about the damage. Take photos and document what happened. This transparency is crucial—trying to hide damage and having the host discover it later can complicate or even invalidate your claim.

Second, contact the insurance provider through their claims portal or phone number. You’ll submit details about the incident, photos of the damage, and any communication with the host. The provider will work directly with the host to assess the damage and determine the appropriate reimbursement.

Third, the insurance company pays the host directly for the covered repairs, up to your policy limit. You typically don’t need to pay anything out of pocket (unless the damage exceeds your coverage limit or falls outside the policy terms).

The cool thing about damage protection through companies like Insuraguest is that they specialize in vacation rental claims. They get the whole guest-host dynamic and can help mediate if there’s a disagreement about whether the damage was really accidental or if the host’s repair estimate seems crazy.

Important Claims Considerations:

Our analysis of industry practices and customer satisfaction data suggests that claim approval rates and processing speed vary significantly between providers. While we cannot provide specific NAIC complaint index data for specialist vacation rental insurers (as many operate under different regulatory structures than traditional insurance companies), you should look for providers with clear, transparent claims processes and responsive customer service.

Read the policy’s claim filing deadlines carefully. Most travel insurance policies require you to file claims within a specific timeframe after the incident (often 20-90 days). Missing these deadlines can result in claim denials even for otherwise valid situations.

Keep all documentation related to your trip and any incidents. This includes booking confirmations, receipts, medical records, photos, and correspondence with hosts or property managers. The more documentation you can provide, the smoother your claims process will be.

How This Compares to Other Vacation Rental Insurance Options

To fully evaluate whether hostfully guest insurance is right for you, it’s helpful to understand how it stacks up against other protection options in the vacation rental ecosystem.

Hostfully-Integrated Insurance vs. Airbnb AirCover:

Many travelers confuse these offerings, but they’re fundamentally different. AirCover is Airbnb’s host protection program—it’s designed to protect property owners from guest damage, not to protect guests from liability. As a guest, AirCover doesn’t give you any direct benefits or coverage.

The insurance offered through Hostfully, conversely, is specifically designed to protect you, the guest. It covers your financial risk if you need to cancel your trip or if you accidentally damage the property. This is a crucial distinction that many travelers miss.

Some Airbnb listings do offer guest-purchasable travel insurance through partners like Generali, which is more comparable to what you’ll see through Hostfully. In those cases, you’re making a similar decision about whether to purchase optional protection.

Hostfully-Integrated Insurance vs. VRBO Travel Insurance:

VRBO (Vacation Rentals by Owner) also offers travel insurance options at checkout, typically through partnerships with companies like Allianz or CSA Travel Protection. These are traditional travel insurance policies that cover trip cancellation, interruption, and related travel risks.

The main difference is that VRBO’s insurance partners are large, established travel insurance companies with extensive track records and published financial strength ratings. Companies like Allianz typically hold A+ (Superior) ratings from A.M. Best, indicating exceptional financial stability. The specialist vacation rental insurers partnered with Hostfully may work with similarly strong underwriters, but this information is less readily available to consumers.

In terms of coverage breadth and limits, VRBO’s insurance options often provide more comprehensive travel medical coverage and higher trip cancellation limits, making them potentially better choices for international travel or very expensive trips. However, they may not include the specialized damage protection that vacation rental specialists like Insuraguest provide.

Hostfully-Integrated Insurance vs. Standalone Travel Insurance:

Purchasing a standalone travel insurance policy from companies like World Nomads, Travel Guard, or Travelex gives you maximum flexibility and often the most comprehensive coverage. These policies typically include:

• Higher coverage limits (often up to $50,000+ for trip cancellation)
• More extensive medical coverage including emergency evacuation
• Broader definitions of covered cancellation reasons
• “Cancel for any reason” upgrades (usually covering 50-75% of trip costs for any reason not otherwise covered)
• Coverage for multiple trips or segments booked separately

The downside is complexity and cost. Standalone policies require you to actively shop, compare, and purchase separately from your rental booking. They’re also typically more expensive because they provide broader coverage. For a simple domestic vacation rental, this extra coverage may be unnecessary.

The Security Deposit Alternative:

Finally, consider that damage protection through Insuraguest or Safely often serves as an alternative to traditional security deposits. If a property requires a $1,000 refundable security deposit or a $59 non-refundable damage protection fee, the insurance option is often more attractive. You pay less upfront, don’t have funds tied up on your credit card, and have a clear, defined process for handling any damage issues.

Frequently Asked Questions About hostfully travel insurance for guests

Our Final Recommendation: To Buy or Not to Buy?

After thoroughly analyzing the hostfully travel insurance for guests offering, examining the partnerships with specialist providers like Insuraguest and Safely, and comparing these options against alternatives in the market, we can provide you with clear, actionable guidance.

The insurance offered during your Hostfully-powered booking is a legitimate, convenient, and often competitive option provided by specialist partners who understand the unique risks of vacation rental travel. These aren’t generic insurance products hastily slapped onto a booking platform—they’re purpose-built solutions designed specifically for the vacation rental ecosystem.

For Damage Protection specifically, we generally recommend purchasing the coverage. The cost is typically modest ($49-$79 for most week-long stays), it eliminates the need for large security deposits that tie up your credit card, and it provides genuine peace of mind during your stay. The ability to relax in your rental without constantly worrying about accidentally breaking something or staining furniture is worth the relatively small investment for most travelers. This is especially true if you’re traveling with children, pets, or groups where the risk of accidental damage is higher.

For Trip Cancellation Insurance, our recommendation is more nuanced. If you don’t already have coverage through a premium credit card or existing travel insurance policy, the Hostfully-integrated option is absolutely worth considering. It’s convenient, typically competitively priced, and designed to work seamlessly with your vacation rental booking.

However, we strongly recommend taking five minutes to check your existing coverage before purchasing. Pull out the credit card you’re using to book the rental and review its travel benefits. Many travelers are surprised to discover they already have excellent trip cancellation coverage worth thousands of dollars per trip. If you do have existing coverage, there’s no need to pay for duplicate protection.

For travelers seeking maximum coverage—particularly for expensive international trips, those with pre-existing medical conditions, or anyone wanting “cancel for any reason” flexibility—consider getting quotes from major standalone travel insurance providers. Companies like Allianz, World Nomads, and Travel Guard often provide more comprehensive coverage with higher limits, though at a higher cost.

The key to making a smart decision is understanding exactly what you’re buying. Don’t just click “add insurance” at checkout without reading the details. Take two minutes to:

1. Identify which company is providing the coverage
2. Confirm whether it’s damage protection, travel insurance, or both
3. Review the coverage limits and exclusions
4. Check for any existing coverage you already have
5. Compare the price to alternatives if you’re purchasing travel insurance

By following this simple process, you can make an informed choice that provides the right protection for your specific situation without paying for coverage you don’t need or leaving yourself vulnerable to risks you haven’t considered.

Remember that our analysis is based on the official RiskGuarder Review Methodology, which prioritizes helping consumers make critical financial decisions through unbiased, data-driven research. We’re not affiliated with Hostfully, Insuraguest, Safely, or any other company mentioned in this review—our only goal is providing you with the information you need to travel with confidence and peace of mind.

The vacation rental insurance landscape can be confusing, with multiple providers, varying coverage types, and integration across different booking platforms. But by understanding the partnerships, knowing what you’re actually purchasing, and taking a few minutes to compare your options, you can navigate this complexity and make a choice that protects both your vacation investment and your financial wellbeing during your stay.

Safe travels, and may your vacation be memorable for all the right reasons—not because of insurance claims or damage disputes.

This review was researched and written by Youssef at RiskGuarder. Last updated: October 2025. Insurance products, partnerships, and coverage terms may change. Always review current policy documents before purchasing.