You've got your booking, you've got your payment, your guests are on their way... But what if they're rockstars and trash your place?
No matter how hard you try, it's impossible to always predict and keep out bad guests. If you are unlucky enough to have really bad guests that burn your place down, your property and business-interruption insurance (you do have those, right?) should cover you. But that's rare.
Much more common are minor damages that no regular insurance will cover - a lost TV remote, a carpet caked with tracked-in mud, a broken window. OwnerRez offers a variety of methods to protect yourself from having to eat these costs.
Security deposit holds provide a way that you can guarantee that you'll be able to charge the guest's credit card for any damages, even if they canceled the card during their stay.
OwnerRez offers an insurance product which covers minor damage to your property. This sounds similar to the guarantees offered by some channels like Vrbo, but isn't - you are the insured paying for the insurance, not the guest, and the guest has nothing to do with whether or not your claim is honored. Neither does the channel - it's just you making your claim to the insurance company, and them paying it.
Some property owners prefer to receive actual funds from their guests for a security deposit, then return those funds after the guest has left if there's no damage.