Insurance Requirements: Daly City vs Redwood City
How do insurance requirements rules compare between Daly City, CA and Redwood City, CA?
Daly City and Redwood City have similar restriction levels.
Daly City, CA
San Mateo County
Daly City Municipal Code Chapter 5.92 does not specify a dollar-amount liability insurance requirement for short-term rental hosts. Instead, applicants must sign an Indemnification and Waiver Agreement as part of the Short-Term Rental Permit application, agreeing to hold the City harmless for losses arising from STR activity. Hosts using major hosting platforms typically receive platform-provided host protection (Airbnb's AirCover offers up to $1 million in liability coverage, Vrbo's Liability Insurance offers up to $1 million) but this platform coverage is not a city mandate. Hosts should also confirm their homeowner's or renter's policy permits STR use and consider a dedicated commercial-style STR policy.
View full Daly City rules →Redwood City, CA
San Mateo County
Redwood City requires short-term rental hosts to carry a minimum of $1 million in liability insurance covering STR operations as part of registration under Municipal Code Chapter 42A. This is in addition to the program's $250 annual permit fee, $50 business license, indemnification of the City, and the 12% Transient Occupancy Tax. Major hosting platforms supply broadly similar protection (Airbnb's AirCover up to $1 million, Vrbo's Liability Insurance up to $1 million), but platform coverage applies only to bookings made through that platform and does not satisfy the City's requirement for hosts who take direct bookings or use multiple platforms.
View full Redwood City rules →Key Facts Comparison
| Fact | Daly City | Redwood City |
|---|---|---|
| City Minimum | No dollar amount specified in DCMC 5.92 | - |
| Required Document | Indemnification and Waiver Agreement (signed) | - |
| Primary Residence Cert. | Required with permit application | - |
| Airbnb AirCover (typical) | Up to $1M host liability | - |
| Vrbo Liability (typical) | Up to $1M per occurrence | - |
| Recommended Carriers | Proper, Steadily, dedicated STR policies | - |
| Code Section | DCMC Chapter 5.92 | RCMC Chapter 42A |
| Minimum Liability Insurance | - | $1,000,000 |
| Indemnification | - | Hold-harmless required at registration |
| Permit Fee | - | $250 / year (STR Program) |
| Business License | - | $50 / year |
| TOT Rate | - | 12% |
| Platform Coverage (typical) | - | Airbnb AirCover up to $1M; Vrbo up to $1M |
Highlighted rows indicate differences between cities.
Daly City FAQ
Does Daly City require a specific amount of liability insurance for STRs?
No. DCMC Chapter 5.92 does not state a minimum dollar amount. The host instead signs an Indemnification and Waiver Agreement releasing the City from STR-related claims.
Will my regular homeowner's insurance cover my Airbnb?
Often not. Most California HO-3 policies exclude 'business pursuits.' Notify your insurer and add an STR endorsement or buy a dedicated short-term rental policy.
Is Airbnb's AirCover enough?
AirCover provides up to $1M host liability and $1M damage protection for Airbnb bookings only. It does not cover direct bookings or every type of claim, so primary insurance is still recommended.
What happens if I don't have insurance and a guest is injured?
You would be personally liable. The Indemnification and Waiver Agreement signed with the City means Daly City is not responsible for guest injuries or neighbor damages.
Redwood City FAQ
Does Redwood City require a specific amount of liability insurance for STRs?
Yes. Chapter 42A requires hosts to carry at least $1 million in liability insurance covering short-term rental operations, demonstrated at registration and renewal.
Will my regular homeowner's insurance count toward the $1 million requirement?
Often not on its own. Most California HO-3 policies exclude 'business pursuits.' Add an STR endorsement, switch to a dedicated short-term rental policy, or stack platform coverage to reach $1 million.
Is Airbnb's AirCover enough to satisfy Redwood City?
AirCover provides up to $1M host liability for Airbnb bookings only. It generally meets the dollar threshold for Airbnb-only hosts, but does not cover direct bookings, off-platform listings, or all claim types.
What other costs come with the STR insurance requirement?
On top of insurance, hosts pay a $250 annual STR permit fee, a $50 business license, and remit Redwood City's 12% Transient Occupancy Tax on each stay.
Compare other topics
See how Daly City and Redwood City compare on other ordinance categories.
Want to add a third city?
Use our full comparison tool to compare up to three cities.
Open Comparison Tool