Maybe. I don't think free Airbnb nights is a good idea to compensate this person. Regardless of their technical liability, Airbnb should make "EJ" whole with respect to her property and the costs she's endured as a result of being estranged from that property. It's hard to believe the total dollar amount for that could be worse than the PR.
But nobody knows exactly what's transpired here except for "EJ" and Airbnb.
Isn't that what rental/home insurance is for? You can certainly make the case the AirBNB misrepresented their safety procedures and checks but it's going to be hard to prove that they participated in the damage of her property.
There is a reason why subletting is forbidden in leases and a reason why insurance companies won't pay damage claims if they think you are operating a hotel out of your house.
It's easy to imagine she wouldn't accept more of a product she no longer trusts when what she's looking for is security.
In the end, the only guideline we have for what they may have offered her is what they offered this person in a similar case.