Does Homeowners Insurance Cover Short-Term Rentals?

TDI’s home guide states that most policies won’t pay for damages or injuries that occur during short-term rentals, and that if you rent out your house for short-term lodging you should ask your agent whether you’re covered and may need more coverage.

Your options as a host

Option	What to know
Home-sharing endorsement	Some insurers add coverage for occasional hosting; TDI’s declarations guide lists home sharing among optional coverages that may appear
Platform protection	TDI notes some home-share websites and apps offer coverage you can buy; check limits, exclusions and whether it’s primary
Landlord insurance	TDI says it’s mainly for long-term leases and may not suit short-term rentals
Specialty short-term rental policy	Some insurers write policies designed for frequent hosting

TDI’s underwriting guide also notes insurers may limit the types of policies they sell for homes rented for short-term home-sharing.

What to ask

• How many nights or bookings per year does the policy allow?
• Is liability for guest injuries covered, and at what limit?
• Is damage by guests covered, including theft?
• Is lost booking income covered after a covered loss?
• Does renting part of the home differ from renting the whole home?

Pools, storage and other rentals

TDI notes that renting out a pool or storage area, even without renting the house, probably needs specific coverage.

Local rules

Many cities regulate short-term rentals separately from insurance. Check local permits and HOA rules too.

If you’re the guest

TDI says your homeowners, renters or personal liability policy might provide limited coverage if you damage a rental property or injure someone while staying there. If you rent often, consider more liability coverage.

By phone

What happens when you call

A conversation lets the agent ask about your specific home instead of relying on a generic online estimate. There are no online forms to fill out.

1. 1

   Describe your home

   Share the address, size, age, construction, and roof or system updates. You do not need every detail to start.

2. 2

   Talk through coverage

   Explain what you want covered and ask about limits, deductibles, and exclusions that apply to your property.

3. 3

   Compare and decide

   Ask for the written quote terms and compare them before deciding. A call or a quote does not start coverage.

Sources and how this page was checked

Page updated October 23, 2026

This page is general information written from the public sources below. It has not been reviewed by an insurance company, attorney or licensed agent for your situation. Your policy form, endorsements, insurer and state rules decide what is covered.

Sources

• Texas Department of Insurance — Home sharing: 3 questions to askRetrieved and reviewed October 25, 2026 for short-term rental limits in homeowners policies and the role of landlord coverage.
• Texas Department of Insurance — Home insurance guideRetrieved and reviewed October 14, 2026. Texas consumer guidance; used for general policy concepts, with Texas-specific examples identified rather than generalized.
• Texas Department of Insurance — How to read your declarations pageRetrieved and reviewed October 25, 2026 for declarations-page contents, listed optional coverages (water backup, identity theft, home sharing) and separate deductibles.
• Texas Department of Insurance — Auto and home policy underwritingRetrieved and reviewed October 25, 2026 for underwriting factors, occupancy limits (vacant, unoccupied, seasonal, short-term rental) and the Texas 60-day post-issue underwriting window, which is labeled as Texas law.

Before you rely on this page

• Read your declarations page, policy form and every endorsement; they control over any summary.
• Ask the insurer or agent to confirm limits, deductibles and exclusions in writing before you buy or cancel coverage.
• For state rules, deadlines or complaints, check your state insurance department directly.