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Chelan County, WA Short-Term Rentals: Insurance Requirements (2026)

Some Restrictions
Compiled from the official code textEditor Martyn O'NeillLast verified September 2026

Key Facts

Insurance type
primary liability insurance
State standard referenced
RCW 64.37.050
Required by
initial permit and every annual renewal
Existing-rental deadline
September 27, 2021
Must be documented in
property management plan

Summary

Owners and operators of short-term rentals in unincorporated Chelan County must maintain primary liability insurance consistent with RCW 64.37.050. The county made this a condition of both new permits and continuing nonconforming status, requiring proof as of the September 27, 2021 effective date of the current ordinance.

These county ordinances apply to unincorporated areas of Chelan County. Incorporated cities within the county may have their own rules that take precedence over county-level regulations.

(e) Liability insurance shall be obtained consistent with RCW 64.37.050 as of the effective date of the ordinance codified in this section (September 27, 2021) per subsection (3)(N) of this section; and ... (N) Liability Insurance. A short-term rental owner or operator must maintain primary liability insurance consistent with RCW 64.37.050.

Full Breakdown

050, the state short-term rental statute's insurance provision. 050 as of the September 27, 2021 effective date of the ordinance, and failing that proof means the property cannot claim nonconforming status at all. 030. Because the plan has to be current and available for inspection, an owner who lets a policy lapse is out of compliance with both the underlying insurance mandate and the paperwork requirement that documents it. The requirement applies uniformly across Tier 1, Tier 2, and Tier 3 rentals and to both new permit applicants and rentals renewing an existing permit, since annual renewal requires the owner to demonstrate the rental still meets every standard in subsection (3), including this one.

Violations & Fines

A rental that cannot document primary liability insurance consistent with RCW 64.37.050 is ineligible for an administrative land use permit or a conditional use permit under subsection (4)(A)(ii), and an existing nonconforming rental that lacks that proof forfeits its nonconforming status under subsection (2)(E)(i). Enforcement, including any civil penalty for operating without required insurance documentation, proceeds under Title 16.

Frequently Asked Questions

Is liability insurance required for a Chelan County short-term rental permit?
Yes. Chelan County Code § 11.88.290(3)(N) requires every owner or operator to maintain primary liability insurance consistent with RCW 64.37.050, and the county checks for this before issuing or renewing the short-term rental land use permit.
What happened to existing rentals that lacked insurance before September 2021?
They lost eligibility to claim legally nonconforming status. Subsection (2)(E)(i)(e) required existing rentals to have obtained liability insurance consistent with RCW 64.37.050 as of September 27, 2021, the effective date of the current ordinance, as one condition of keeping nonconforming rights.
Where does the insurance requirement have to be documented?
In the rental's property management plan, the same file Community Development keeps on record and the same document that must be prominently displayed inside the rental, alongside the consumer safety information required under RCW 64.37.030.

Sources & Official References

Other rules in Chelan County

All Chelan County rules

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