California Statewide Rule
California Short-Term Rental Platform Notice and Pricing Rules
Key Facts
- Platform notice
- B&P Code 22592
- Price transparency
- B&P Code 17568.6 (AB 537)
- Penalty
- Up to $10,000 per violation
- Statewide insurance mandate
- None
Summary
California requires hosting platforms to warn hosts to check their lease and insurance before listing (Business and Professions Code 22592), and AB 537 requires short-term lodging prices to be advertised with all mandatory fees included.
22592. A hosting platform shall provide the following notice to an offeror listing a residence for short-term rental on the hosting platform: (a) If you are a tenant who is listing a room, home, mobilehome, condominium, or apartment, please refer to your rental contract or lease, or contact your landlord, prior to listing the property to determine whether your lease or contract contains restrictions that would limit your ability to list your room, home, mobilehome, condominium, or apartment. Listing your room, home, mobilehome, condominium, or apartment may be a violation of your lease or contract, and could result in legal action against you by your landlord, including possible eviction. (b) You should review any restrictions on coverage under your homeowners' or renters' insurance policy related to short-term rental activities to ensure that there is appropriate insurance coverage in the event that a person sustains an injury or loss for which you are responsible, a person damages or causes loss to your personal or real property, or a claim or lawsuit is made against you or otherwise arises out of activities related to this hosting platform.
Full Breakdown
Business and Professions Code 22592, added by SB 761 (2015), requires internet hosting platforms to display a notice before each listing telling would-be hosts to review their lease or rental agreement for sublet restrictions and to review their insurance coverage for vacation-rental use; the host must affirmatively acknowledge the notice. Separately, Business and Professions Code 17568.6 (AB 537, effective July 1, 2024) bars hotels and short-term rentals from advertising a rate that excludes mandatory fees, and the total price including taxes must be shown before booking. California does not mandate a specific host liability policy statewide; cities may impose their own insurance and registration rules.
Violations & Penalties
Advertising a short-term lodging rate without required fees can bring civil penalties up to $10,000 per violation, enforceable by city attorneys, district attorneys, county counsel, or the Attorney General.
Frequently Asked Questions
Does California require STR hosts to carry insurance?
Can California cities require additional insurance for STR hosts?
Sources
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