Wilmington, NC currently enforces short-term rental regulations for both whole-house rentals, and “homestays,” (i.e. renting individual bedrooms). The City requires hosts to adhere to the following restrictions and requirements, including proof of $500,000 or greater commercial general liability insurance: 

Sec. 18-331.11:

“Property owners registering a whole-house lodging are responsible for keeping in full force and effect during all times the unit is used as a whole-house lodging commercial general liability insurance with a total limit of not less than $500,000 each occurrence for bodily injury and property damage.”

Additional Wilmington short-term rental requirements include the following:

  • Rentals must be registered with the city annually ($300).
  • Each unit must have a flyer listing the host’s contact information, the non-emergency police number, trash collection information, and the maximum number of guests.
  • The rental’s registration number must be displayed on the flyer and any advertisements. 
  • No parties, weddings or other large gatherings are allowed as part of the rental’s operation. 
  • No food preparation for guests allowed.

You can find the complete ordinance for homestay (individual rooms) and whole-house rentals on the Wilmington government website.

verify your insurance coverage

Verify your insurance coverage

As regulations spring up in your area, now’s the right to make sure you have the best coverage to protect you and your business and meet city requirements.

Wilmington requires its short-term rental owners to secure commercial general liability insurance. This type of liability is found in business insurance policies and protects you, the insured against claims of bodily injury or property damage you could be found legally liable. Unlike personal or premise liability, it provides coverage for business activity and extends off the premise of your property (i.e. dog bite off-premise).

Take the time to review your current policy and update if necessary to a commercial general liability policy needed to adequately protect you and your business. It is readily available for purchase in the open market for short-term rental hosts in all 50 states. 

Proper Insurance is the Nation’s leading insurer of short-term vacation rental properties. With over 50,000 insurance policies written, you can have peace of mind knowing you and your business are covered for the unique risks of running a short-term vacation rental business.

Have questions for Proper Insurance? Give them a call at (888) 631-6680 to verify your insurance. 

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