Hi, Beachrunner...We have had damage twice at Conch Out. One Christmas, the family dragged a Xmas tree stand across our recently refinished hardwood floors, leaving a huge scratch. Of course, the entire floor had to be redone, to the tune of about $1,200. The people were required to pay, had a hissy fit and fell into it, never rented with us again. (Good riddance.) The second time, was the time we had a bunch of unchaperoned underage kids who threw a drunk there. The damage was less daunting than the description, the latter being revolting. I had the management company take photos and also send the disgusting sex DVDs that were in the CD player to the parent who rented. They paid for damages and even wrote a letter of apology. So we have had no problems with getting damages paid.
However, you are right that the companies don't want to make renters unhappy. They just want to keep them coming back. I have had a hard time convincing ours at times that damages are simply not acceptable. Nor are unchaperoned, underage kids fueled by alcohol. I mean, it's not the stuff I'm worried about, but our liability. Good luck. Your place looks so nice, and a pity that someone would not value how nice you made it for renters.