Airbnb to pay $250 million to host for COVID-19 cancellation

Airbnb said on Monday that it is investing $ 250 million, which will help protect the host from financial losses from refunds given to guests who canceled travel plans due to the coronavirus epidemic. The move came in the form of an olive branch of sorts spread by Airbnb hosts to give full refunds to guests who canceled reservations to stay at home for several weeks before the home-sharing platform decided. Health officials and governments have urged.

“Know that this decision was not a business decision, but was based on protecting public health,” said Brian Chesky, Airbnb co-founder, and head.

“While I believe we have done the right thing in prioritizing health and safety, I regret that we informed you of this decision without the advice of the guests – just as the partners need.”

Airbnb will pay 25 percent to the host, which would typically be if someone booked between March 14 and May 31 could cancel the stay due to COVID-19.

Passengers canceling Airbnb reservations made for that period are promised full refunds or credits for future stays.

“We know it’s just a small, but a little long way to go at the moment,” Chesky said, discussing AirBnB’s latest moves in a live video stream from his home.

Airbnb has also created a $ 10 million relief fund for experienced and upper-class “super hounds” who need help paying off their mortgages or rent due to the devastating effects of coronaviruses on the travel industry.

Airbnb employees started the fund with one million dollars, and the two co-founders contributed the remaining $ 9 million, according to the company.

Airbnb is also adding a feature to its platform that will send people money to support tied hosts during their stay.

“This storm, no matter how bad, is going to end,” Chesky said.

“When it is over, people, on the other hand, are about to wait to get out of their homes. And when they get out of their homes, they are going to explore the world, and be with you. “

Approximately 50,000 AirBnB hosts have volunteered to make their homes available to health care workers, relief providers, and first responders to deal with the coronavirus virus epidemic, according to Chesky.