Caldwell, ID Short-Term Rentals: Insurance Requirements (2026)

There is no insurance requirement for short-term rentals in Caldwell's City Code. Idaho Code 67-6539 treats STRs as a residential land use and limits cities to reasonable health and safety regulations, and House Bill 583 (effective July 1, 2026) expressly prohibits cities and counties from requiring additional insurance as a condition of operating a short-term rental. As a result, Caldwell cannot require a host to carry a minimum amount of commercial liability coverage, to name the city as an additional insured, or to provide proof of an STR insurance policy. This does not mean insurance is unwise: hosts are strongly encouraged, as a matter of business risk management, to confirm coverage with their insurer, since a standard homeowner's policy may exclude or limit commercial short-term rental activity. Many hosts obtain a landlord or short-term rental endorsement or a dedicated STR policy, and major booking platforms such as Airbnb and Vrbo offer host liability protection programs that supplement, but do not replace, a host's own coverage. These are voluntary, prudent measures, not Caldwell requirements. The city's role is limited to generally applicable safety standards (such as equally applied smoke alarm and carbon monoxide detector rules), not insurance mandates.