Doña Ana County, NM Short-Term Rentals: Insurance Requirements (2026)

Section 280-4(E) of the County Code requires the property owner to maintain adequate property insurance and liability insurance for the short-term rental, with proof due to CDD both at the time of registration and at any later time the County requests it. The chapter defines the standard precisely in § 280-3: 'ADEQUATE INSURANCE' means property insurance covering both the building and personal belongings plus a minimum of $1,000,000 in liability insurance. Owners can satisfy the rule three ways under § 280-4(E): adding a specific rider to a traditional homeowner's policy for the short-term rental use, carrying a separate policy dedicated to the rental in addition to the homeowner's policy, or relying on a liability policy supplied by the booking or marketing platform that lists the property, such as a host-protection program bundled with the listing service.

There is no carve-out for owners who rent only occasionally or for a single room; the insurance duty attaches to any property meeting the chapter's definition of a short-term rental, which excludes only owner-occupied bed-and-breakfasts, hotels and motels. Because CDD can demand proof of coverage at any time after registration, not just at the initial permit application, an owner who lets a policy lapse mid-tenancy is out of compliance even if the original registration was in order.