Fayetteville, AR Short-Term Rentals: Insurance Requirements (2026)
Key Facts
- Requirement
- Homeowners insurance STR rider
- Coverage
- Must cover STR use fully
- Must List
- Rental property address
- Code
- Sec. 118.01(E)(3)(c)
Summary
Fayetteville requires every short-term rental owner to provide proof of a current homeowners insurance rider that fully covers the unit when used as an STR, as a condition of the business license under Sec. 118.01(E)(3).
The owner of the dwelling unit or operator of the short-term rental provides proof of a valid and current homeowners insurance rider policy which fully covers each unit when operated as short-term rental unit.
Full Breakdown
Under Sec. 118.01(E)(3)(c), no dwelling may operate as a short-term rental unless the owner provides proof of a valid, current homeowners insurance rider policy that fully covers the unit when operated as a short-term rental. Standard homeowner policies exclude commercial rental activity, so hosts need an STR-specific rider or endorsement naming the rental address. The city's official STR page confirms the policy must list the property address and state that it covers the property when used as a short-term rental. Proof is submitted with the business license application.
Violations & Fines
Without the required insurance rider, the business license will not issue or renew, and operating anyway is an unlicensed STR subject to citation under Chapter 118.
Frequently Asked Questions
Does Fayetteville require STR insurance?
Does my regular homeowners policy count?
Sources & Official References
Other rules in Fayetteville
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