Liability and insurance can get a little murky when guests cause property damage in a rented home. Rules and processes vary by province and depend on the circumstances. We looked at section 34 of Ontario’s Residential Tenancies Act, the Landlord and Tenant Board’s maintenance and repair guide, Ontario’s standard lease guide, and the Insurance Bureau of Canada’s tenant-insurance explanation to prepare this guide.
We cover the difference between normal wear and actionable damage in Ontario, the fault test, what you need to do when damage occurs, and which type of tenant insurance may cover the bill.
Are Ontario Renters Responsible For Damage Caused By Guests?
Under the Residential Tenancies Act, a tenant is responsible for undue damage caused by the wilful act or neglect of the tenant, an occupant, or a person the tenant has allowed into the rental unit.
In other words, if you invite someone to your home and they damage the unit, your landlord can claim compensation from you. Tenants are not responsible for all marks on a unit, as normal wear and tear is not undue damage.
If your landlord believes you are responsible for the damage, they must apply to the Landlord and Tenant Board (LTB) and provide evidence. Evidence may include receipts, quotes, letters, photos, etc. The landlord must prove you are responsible for the damage.
You are entitled to attend a LTB hearing and argue that you are not responsible for the damage or argue about how much money you owe.
Classify The Problem Before Paying
| Situation | Starting point in Ontario | What to document |
|---|---|---|
| Normal wear | Before paying, classify the problem. A tenant is not responsible for damage from normal usage. | Move-in condition, age, ordinary use and maintenance history |
| Careless guest damage | Tenant may be responsible for undue damage caused by a guest. | Cause, witnesses, photos, messages and repair estimates |
| Intentional guest damage | Tenant may be responsible for undue damage caused by a guest. Some policies specifically exclude intentional acts. Read your policy. | Police or incident records, identity, causation and policy notice |
| Building defect or failed maintenance | Determine who is responsible for damage to property. A landlord may have an obligation to make repairs unless it was the action of the tenant or guest that caused or contributed to the problem. | Prior reports, inspection records, repair requests and chronology |
What To Do After A Guest Damages The Rental
If the situation could get worse, like a leak or fire, and it’s safe to do so, take reasonable steps to reduce further damage. Otherwise, contact emergency services.
Take pictures/videos of the damage, making sure you can prove the date, damaged items, and anything else that may be helpful. Take photos of existing damage too. Get the contact info of any witnesses. Keep copies of any letters/emails/etc.
Tell your landlord/emergency contact what happened right away. Give the facts; don’t speculate about fault.
Call your insurer/broker if you think you’ll be making/defending a claim, and check what you can/can’t do under the policy. Get advice before authorizing repairs (unless they’re emergencies) or promising to pay for anything.
If your landlord tells you they want you to pay for the damage, ask them to prove their costs by providing quotes, receipts, information about the item’s age and condition, and how they calculated the damage cost. If you agree to pay for something, get it in writing.
If you don’t think you should pay for all or some of the damage, you can’t arbitrarily deduct the amount from your rent or refuse to pay rent until your landlord fixes the damage. Follow your province’s dispute process for landlords and tenants.
When Is A Guest A “Temporary Guest” At A Residence?
Contrary to popular belief, landlords in Ontario cannot:
- Prevent tenants from having guests
- Require tenants to tell them in advance if they are having guests or require guests to “check in” with them
- Charge a “guest fee” of any kind or raise the tenant’s rent as a result of guests
- Prohibit roommates, unless the arrangement violates applicable occupancy standards
Unfortunately, the law has no magic test that tells you when a guest becomes something else. Delivering mail, having a pet, contributing to the utilities and spending X number of nights in the unit are not enough. In Ontario, guests, roommates, occupants, subtenants, and assignees are all different. Subletting and assigning your lease are very different animals. But subject to condo bylaws, occupancy standards and behaviour that causes or is likely to cause damage or disturbance, Ontario’s standard guide to lease agreements indicates that landlords cannot prevent tenants from having guests.
Read More: Review Ontario’s Rules for Tenant Guests and New Occupants
How Does Damage Caused By A Guest Affect Your Tenant Insurance?
| Policy part | What it is designed to address | Guest-damage question |
|---|---|---|
| Contents | Tenant insurance can cover loss or damage to the tenant’s personal belongings if this is the result of an insured cause. | Was the tenant’s property damaged by an insured peril? |
| Personal or tenant liability | Tenant insurance may cover legal liability for unintentional injury or property damage, subject to policy wording. | Is the insured tenant legally responsible, and does an exclusion apply? |
| Additional living expense | Additional living expenses resulting from an insured loss that makes your rental unliveable may be covered by tenant insurance within the time/monetary limits of the policy. | Was there insured physical damage and is the expense covered? |
If a guest damages a tenant’s own property, tenant insurance may apply. However, if a guest is found to be at fault for negligently damaging the rented building, different rules apply. It is important to find out:
- who is insured
- what kind of property is damaged
- what caused the damage
An exclusion for intentional acts may apply. The guest may have their own liability insurance that responds to the situation. If the landlord’s insurer pays a covered loss, it may try to recover the amount from whoever is found to be responsible. Give the insurer all the facts and ask for coverage decisions in writing.
Read More: See How Personal Liability Insurance May Cover Accidental Damage
Check The Liability Limit Before A Guest Arrives
Personal liability is one of the most complicated parts of a tenants’ insurance policy to understand. Some tenants may find it advantageous to shop for higher liability limits, for example, tenants with pets and tenants in buildings where water or fire damage may affect neighbouring homes.
We analyzed thousands of tenants’ insurance quotes collected since the start of 2026 and found that 66.3% had a $1 million personal liability limit while 33.7% had a $2 million personal liability limit. This doesn’t mean that MyChoice endorses one limit or the other, only that this limit is currently the most popular. Tenants should review their policy terms carefully, including exclusions and definitions of what constitutes damage to a tenant’s home, as well as the cost of different liability limits, when deciding how much coverage is right for them.
How Much Can The Landlord Claim?
Where a damage claim is disputed, the tribunal will consider the evidence and decide what, if any, remedy is appropriate. In determining what is appropriate, it will take into account matters such as the age of the item(s), its/their original condition, depreciation, betterment, etc. Damages do not automatically entitle the landlord to replace damaged items with upgraded versions. Damages are to reflect loss.
What If The Rental Is Outside Ontario?
If the rental is outside Ontario, check the jurisdiction’s regulations. The law may be different, including:
- who is responsible for a tenant’s guests
- whether leases can include terms about guests
- what evidence is required
- where disputes are dealt with
If you’re dealing with an out-of-province tenancy as a tenant or landlord, check the rental act for your area or contact your local rental authority for help.
Read More: Learn About Tenant Insurance in Ontario