Airbnb says that it has set aside $250 million USD (about $355 million CAD) to help hosts impacted by COVID-19-related cancellations.
The company is going to be paying 25 percent of what hosts would have received for a cancellation. For instance, if a host would normally receive $400 USD through their cancellation policy, then Airbnb will pay $100 USD.
Airbnb notes that it will send out an email with more details in early April to hosts who are getting a payout.
A few weeks ago, Airbnb announced that all stays booked between March 14th and April 14th could be cancelled and fully refunded. The company faced serious backlash after hosts were notified that Airbnb would not be covering their losses.
The company then issued an apology and acknowledged that it should have consulted with hosts, and that it had let them down. In response, Airbnb has made this new reimbursement announcement to support its hosts.
“We know a lot of people are facing serious hardships right now, and we’re working around the clock to help you. Our $250 million USD support will come entirely from Airbnb at no cost to the guest,” the company wrote in a blog post.
Further, the company is also extending its no-penalty cancellation policy from March 14th to May 31st.
Airbnb recently announced a new global initiative that will provide free or subsidized housing to healthcare professionals amid the COVID-19 pandemic.