diff --git a/package/network/services/dnsmasq/files/dnsmasq.init b/package/network/services/dnsmasq/files/dnsmasq.init
index 3250b2179b..19135af1c2 100644
--- a/package/network/services/dnsmasq/files/dnsmasq.init
+++ b/package/network/services/dnsmasq/files/dnsmasq.init
@@ -829,12 +829,14 @@ dnsmasq_start()
 	CONFIGFILE_TMP="${CONFIGFILE}.$$"
 	HOSTFILE="${BASEHOSTFILE}.${cfg}"
 	HOSTFILE_TMP="${HOSTFILE}.$$"
+	HOSTFILE_DIR="$(dirname "$HOSTFILE")"
 	BASEDHCPSTAMPFILE_CFG="${BASEDHCPSTAMPFILE}.${cfg}"
 
 	# before we can call xappend
+	umask u=rwx,g=rx,o=rx
 	mkdir -p /var/run/dnsmasq/
 	mkdir -p $(dirname $CONFIGFILE)
-	mkdir -p $(dirname $HOSTFILE)
+	mkdir -p "$HOSTFILE_DIR"
 	mkdir -p /var/lib/misc
 	chown dnsmasq:dnsmasq /var/run/dnsmasq
 
@@ -1154,6 +1156,7 @@ dnsmasq_start()
 	procd_add_jail_mount $EXTRA_MOUNT $RFC6761FILE $TRUSTANCHORSFILE
 	procd_add_jail_mount $dnsmasqconffile $dnsmasqconfdir $resolvdir $user_dhcpscript
 	procd_add_jail_mount /etc/passwd /etc/group /etc/TZ /etc/hosts /etc/ethers
+	[ "$HOSTFILE_DIR" != "/tmp" ] && procd_add_jail_mount "$HOSTFILE_DIR"
 	procd_add_jail_mount_rw /var/run/dnsmasq/ $leasefile
 
 	procd_close_instance