We have rented through VRBO in St Martin & in Florida several times. I think some of the possibility of refunds also depends on the owners. We cancelled twice. Once in St Martin due to Irma and once in Florida due to Covid. It was not our first time renting either place, so we were familiar with the owners. The St Martin time, we didn't even have to ask for a refund- they just graciously did it. The covid one, we did ask and were encouraged to wait a bit, which we did, then asked again. We just couldn't see having to drive all that way, only to have to quarantine the whole two weeks we were going to rent. Plus ,the possibility of not finding a place to stay on the way as we were traveling with our dog and covid restrictions had just begun.In the end, we did receive a refund there as well.
I wouldn't hesitate to rent through VRBO, but just do your due diligence, read all the rules on each place and read all the guest reviews.