Auburn, AL Short-Term Rentals: Insurance Requirements (2026)

Unlike some cities that require proof of a set amount of liability insurance, the City of Auburn's short-term rental framework does not state an insurance requirement in Section 408.02.D.6 or in the business-license rules that have been published. The ordinance's substantive controls are the zoning approval (Home Occupation Permit or Zoning Certificate), the business license priced at one-quarter of one percent of gross receipts with a $100 minimum, the 240-day annual operating cap for non-primary rentals, the lodging-only use restriction, and the two-complaint revocation mechanism. None of these conditions an Auburn permit on carrying short-term rental or homeowner liability insurance, and no minimum coverage figure is specified. This entry therefore does not assert a coverage amount, because none appears in the city's published requirements. As a practical matter, hosts should still confirm that their homeowner or landlord policy covers short-term rental activity, or obtain a dedicated short-term rental policy, since standard homeowner policies often exclude commercial lodging use. Operators should also verify with Planning Services and the Revenue Office whether any insurance documentation is requested at application, as program administration can evolve even when the underlying ordinance text does not name a coverage mandate.