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Flower Mound, TX Short-Term Rentals: Insurance Requirements (2026)

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

Key Facts

Town Requirement
None -- no STR insurance mandate
Homeowner Policy
Typically excludes STR activity
Recommended
Commercial liability or STR rider
Platform Coverage
Airbnb AirCover is secondary only
State Law
TX Property Code Ch. 92

Summary

Flower Mound does not impose STR-specific insurance requirements. Standard homeowner insurance policies may not cover short-term rental activity. Operators should obtain commercial liability coverage or a dedicated STR insurance rider. Platforms like Airbnb offer host protection programs but these do not replace primary coverage.

Sec. 92.0131. NOTICE REGARDING VEHICLE TOWING OR PARKING RULES OR POLICIES. (a) This section applies only to a tenant in a multiunit complex, as that term is defined by Section 92.151.(b) If at the time a lease agreement is executed a landlord has vehicle towing or parking rules or policies that apply to the tenant, the landlord shall provide to the tenant a copy of the rules or policies before the lease agreement is executed. The copy of the rules or policies must be:(1) signed by the tenant;(2) included in a lease agreement signed by the tenant; or(3) included in an attachment to the lease agreement that is signed by the tenant, but only if the attachment is expressly referred to in the lease agreement.(c) If the rules or policies are contained in the lease agreement or an attac

Source: TX Property Code Ch. 92View official code

Full Breakdown

The Town of Flower Mound has not adopted insurance requirements specific to short-term rental operations. However, standard homeowner insurance policies typically exclude coverage for commercial rental activity, and STR hosts operating without proper coverage may face significant personal liability. Operators should contact their insurance provider to obtain either a commercial general liability policy, a dedicated short-term rental endorsement, or a specialized STR insurance product. Airbnb offers AirCover host protection providing up to $1 million in liability coverage and up to $3 million in damage protection, but this is secondary coverage and does not replace a primary insurance policy. VRBO offers similar host liability insurance. Texas Property Code Ch. 92 governs landlord-tenant obligations including habitability and safety standards that apply regardless of rental duration. HOAs may require proof of insurance as part of their CC&R compliance enforcement.

Violations & Fines

No Town-imposed insurance penalties for STRs. Operating without adequate coverage exposes the host to personal liability. HOAs may enforce insurance requirements through CC&Rs.

Frequently Asked Questions

Does Flower Mound require insurance for Airbnb rentals?
No. The Town has no STR-specific insurance requirement. However, standard homeowner policies typically exclude short-term rental activity, so you should obtain a dedicated STR insurance rider or commercial liability policy.
Does Airbnb AirCover replace my homeowner insurance?
No. AirCover is secondary coverage that supplements but does not replace your primary insurance policy. Contact your insurance provider about a short-term rental endorsement.

Sources & Official References

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