Lake County, CA Short-Term Rentals: Insurance Requirements (2026)

Jurisdictions with formal short-term rental permit programs often require operators to carry a minimum amount of liability insurance, sometimes $500,000 or $1,000,000, and to show proof at registration. Unincorporated Lake County has no such requirement, because it has not adopted a dedicated short-term rental ordinance. The Transient Occupancy Tax provisions in Chapter 18, Article II - which set the 9% rate, the registration certificate, and the reporting rules - contain no insurance mandate. The Zoning Ordinance's transient-lodging use types, the Bed and Breakfast (Sec. 21-27.3(c)) and Bed and Breakfast Inn (Sec. 21-27.13(b)), require items such as smoke detectors and fire extinguishers and compliance with fire and life-safety codes, but the County code does not condition those uses on carrying a specific insurance policy. As a practical matter, hosting platforms such as Airbnb and Vrbo provide their own host liability programs, and a standard homeowner's policy often excludes commercial short-term rental activity, so owners around Clear Lake, Kelseyville, Cobb, and Hidden Valley Lake are strongly encouraged to obtain a short-term rental or landlord policy even though the County does not require one. Owners should confirm any current requirements with Lake County Community Development, particularly if the County later adopts an STR ordinance.