Insurtech Pikl, which focuses on the rental market, has launched a new insurance-backed product that will enable operators to offer similar cancellation policies to those that customers are used to with hotel bookings.

Louise Birritteri (pictured), CEO and founder of Pikl, said: “The vacation rental market has enjoyed rapid growth over the last 10 years and is now a mainstream choice. But, until now, it’s cancellation policies have lagged behind those of hotels.

“Customers have become used to free and flexible cancellations offered by hotel bookings and are prepared for that to be reflected in a higher price. But without such cancellation policies, the vacation rental market has been operating at a disadvantage.

“Our flexible cancellation product taps into that customer expectation and will take away the disadvantage allowing vacation rentals managers to gain from a new revenue stream with higher booking conversions.”

Pikl is also introducing a new, small damage deposit product. It replaces the refundable damage deposit that guests usually pay upfront. It can be offered as an opt-in for guests or included at the point of booking a vacation rental.