DeSoto, TX Short-Term Rentals: Insurance Requirements (2026)
Key Facts
- Minimum Per Occurrence
- $500,000
- Aggregate
- $1,000,000
- City Named
- Additional insured required
- Proof
- ACORD 25 certificate
- Homeowner Policy
- Usually insufficient alone
Summary
DeSoto STR operators must carry a minimum of $500,000 in commercial general liability insurance naming the City as an additional insured, plus proof of adequate property coverage. Platform-provided Host Protection does not satisfy the requirement alone.
Sec. 92.010. OCCUPANCY LIMITS. (a) Except as provided by Subsection (b), the maximum number of adults that a landlord may allow to occupy a dwelling is three times the number of bedrooms in the dwelling.(b) A landlord may allow an occupancy rate of more than three adult tenants per bedroom:(1) to the extent that the landlord is required by a state or federal fair housing law to allow a higher occupancy rate; or(2) if an adult whose occupancy causes a violation of Subsection (a) is seeking temporary sanctuary from family violence, as defined by Section 71.004, Family Code, for a period that does not exceed one month.(c) An individual who owns or leases a dwelling within 3,000 feet of a dwelling as to which a landlord has violated thi
Full Breakdown
Chapter 30 Sec. 30-206 requires every permitted STR to maintain a commercial general liability policy with limits of at least $500,000 per occurrence and $1,000,000 aggregate. The City of DeSoto must be named as an additional insured on an ACORD 25 certificate, which is submitted annually with the renewal application. Homeowners' policies do not typically cover short-term rental activity; operators must obtain either a rider or a dedicated STR policy through carriers such as Proper Insurance or CBIZ. Airbnb's AirCover is considered supplemental only. Lapses in coverage automatically suspend the permit until reinstated.
Violations & Fines
Permit suspension on lapse; $500-$2,000 fine; personal liability for uncovered claims.
Frequently Asked Questions
Does Airbnb AirCover count?
What if my insurance lapses?
Sources & Official References
Other rules in DeSoto
Texas rules heatmap·Compare DeSoto to another location·View the Texas short-term rentals overview
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Insurance Requirements in Nearby Cities
How other cities in Dallas County handle insurance requirements.