IAG has again shown its faith in the future of the shared economy, launching an insurance product for people letting their properties via Airbnb and Stayz.

ShareCover costs as little as $4 for each night homeowners have paying guests. Hosts are covered for damage or if someone is hurt.

The offering was developed by IAG Labs – the insurer’s “digital hub for innovation”, which was set up in July as an “incubator” for new products and services.

IAG Labs CEO Peter Harmer says ShareCover “highlights IAG’s commitment to supporting our customers’ experience with the shared economy”.

“We recognise the shared economy is here to stay and it has transformed the way we use our assets now and in the future.”

IAG subsidiary NRMA Insurance recently angered the taxi industry by covering UberX drivers and their privately owned vehicles, despite the fact ride-sharing services are illegal in all states and territories.

As reported in insuranceNEWS.com.au, the Australian Taxi Industry Association has lodged a complaint with the Australian Competition and Consumer Commission.

ShareCover – designed for use in conjunction with standard home policies – is unlikely to be as controversial. The standalone brand will be sold online.

An IAG spokesman told insuranceNEWS.com.au it will be promoted “in the coming weeks” through search engine marketing and search engine optimisation, plus social media such as Facebook.

IAG Labs says ShareCover targets “tens of thousands of Airbnb and Stayz hosts” in Australia.

Research by IAG Labs shows 61% of hosts fear property damage and loss of belongings, and 54% incorrectly believe – or are unsure if – their current home insurance policies cover them.