Committee advances bill clarifying host damage guarantees for short‑term rentals; Airbnb supports changes

Representatives Hewitt and Reimer presented House File 3972 on March 11 to clarify how host guarantees — promises by a platform to cover guest‑caused damage — should be treated under Minnesota law. The authors said the bill distinguishes guarantees provided by online marketplace operators from insurance products used by homeowners.

An oral amendment to the authors’ amendment changed a claims/notice window that had been set at 180 days to shorter language ultimately described during the hearing as 90 days; the amendment to the amendment was adopted by voice vote and incorporated into the bill.

Brad Nail, testifying on behalf of Airbnb, said the company participated in the bill’s development and incorporated insurer and regulator input. "These guarantees are important for our hosts...the guest must pay damages, but when the renter does not live up to their obligations it’s important for the host to have peace of mind that in those situations Airbnb can step in and compensate them," Nail said. He described the measure as a model with bipartisan support and said the sponsors had incorporated insurer and regulator edits.

Committee members dispensed with additional public testimony, asked several technical questions about timing and next steps, and by voice vote referred the bill as amended to the Committee on Ways and Means.