A cityscape in Louisiana at sunset.

Updated Airbnb Laws in Louisiana – New Requirements for Hosts in the Pelican State

As with various other states, Louisiana is beginning to understand the importance of regulating short-term rentals. By updating current Airbnb laws and regulations, it strengthens protection for both hosts and rental guests. New Orleans has recently updated its insurance requirements for short-term rentals, as well as increased other regulations for hosts. As legislation continues to change, hosts should continue to look for short-term rental updates within local municipalities.

If you have questions about short-term rentals in Louisiana, contact Proper Insurance. Our agents are experts in the vacation rental industry. Call 888-631-6680 today. 

A cityscape in Louisiana at sunset.

New Orleans, Louisiana

Now Requiring Commercial General Liability Insurance 

Short-term rentals can provide a steady stream of income for homeowners nationwide. However, with the rise of Airbnb and other short-term rental applications, new Airbnb laws and regulations have come into play. In December of 2019, the City of New Orleans created a new requirement stating that all short-term rentals must be associated with an Operator Permit. Currently, there is a six-month pause on short-term rental applications in residential areas which passed late August in 2022. As City officials still debate on how best to regulate short-term rentals, current Airbnb laws and regulations stand. 

According to NOLA, short-term rentals must take place in a legal dwelling unit and the rental of that unit is for fewer than 30 days at a time.  Rentals of greater than 30 consecutive days are considered long-term rentals and do not require an STR permit. Other regulations were also updated including:  

  • Ensuring the STR is covered by a $1,000,000 commercial general liability insurance policy 
  • Maintaining the STR guest registration records, including dates of occupancy, number of guests per stay, and rates charged 
  • Ensure dwelling and occupancy limits set forth in the CZO and CCNO and observed 
  • Ensure that an advertisement or listing of their STR contains: the STR owner permit number, STR operator permit, whether the STR unit is wheelchair accessible or otherwise ADA compliant, the number of permitted guest bedrooms in the STR, and the maximum permitted occupancy of the STR 
  • Post a copy of the Owner’s Permit in a location visible to both guests and neighbors 

For the full list of residential and commercial STR owners’ duties and responsibilities, check out the New Orleans Short-Term Rental Handbook. 

Short-Term Rental Laws – Insurance Requirements 

The primary reason for an insurance requirement is to ensure that short-term rental owners are properly protected from injuries or property damage. 

Commercial general liability is found in business insurance policies and protects the insured against claims of bodily injury or property damage they could be found legally liable. It is the most comprehensive liability insurance one can purchase for short-term rentals. 

Additionally, when defining the “proof” of insurance, cities or counties can easily require a “certificate of insurance” which is a standardized form to show proof of insurance to various interested parties, including banks, mortgage lenders, or in this case, cities or counties requiring owners to provide proof of insurance to obtain a short-term rental certificate. 

Quote Your Short-Term Vacation Rental Today

Interested in a policy to protect you and your business from liability and damage claims? Proper Insurance is the nation’s leading short-term rental insurance provider protecting homes in all 50 states, replacing inadequate Homeowners/Landlord policies. Their comprehensive coverage meets or exceeds standard short-term rental requirements with $1M Commercial Liability (CGL) and unmatched protection for your property and revenue. Additional custom coverages include guest-caused theft/damage, amenity liability (bikes, kayaks, hot tub, etc.), bed bugs, fleas, squatters, and more.

Please note: The information provided is intended as a guide and may not be comprehensive or current. Regulations may change and could vary by area or situation. Always consult local authorities or a legal professional to ensure you have the most accurate information for your short-term rental property. Given that STR laws and regulations are always changing, we rely on our community to keep us informed. If you have any additional information or updates relating to our posts, let us know at info@proper.insure!