Columbia Shuswap Regional District board supported revisions to owner liability insurance requirements for vacation rental temporary use permits at its April 21 meeting. (File photo)

Columbia Shuswap Regional District board supported revisions to owner liability insurance requirements for vacation rental temporary use permits at its April 21 meeting. (File photo)

Columbia Shuswap Regional District changes insurance requirements for vacation rental permits

Minimum liability insurance coverage reduced, covenant protecting CSRD still required

  • May. 6, 2022 10:00 a.m.

The Columbia Shuswap Regional District has revised its insurance requirements for temporary use permits (TUP) issued for vacation rentals.

At their April 21 board meeting, CSRD directors voted in support of the following staff-recommended policy changes for all vacation rental TUPs: lowering the required minimum liability insurance from $5 million to $3 million; and no longer requiring the regional district be named as an additional insured on the rental owner’s insurance policy.

Staff also recommended the CSRD continue to require vacation rental TUP applicants to register a covenant on title releasing and indemnifying the regional district for any damages arising from, or relating to, issuance of the permit.

The changes apply for the issuance of vacation rental TUPs in Electoral Area B (Rural Revelstoke), Area E (Rural Sicamous, Swansea Point and Malakwa) Area D (Ranchero, Deep Creek, Silver Creek and Falkland), and Area F (North Shuswap). According to staff, to date, vacation rental TUPs have only been issued in Area B.

Temporary Use Permits are issued by the board for a maximum of three years, and can be extended for one additional three-year term.

Providing some background to the board, planning services team leader Corey Paiement explained insurance requirements established in 2014 were implemented to protect the CSRD’s interests. Recently, however, vacation rental owners with a TUP attempting to renew their liability insurance, or obtain insurance for the first time in order to acquire a TUP, have found they cannot get insurance with the CSRD named on the policy. Owners have also objected to the $5 million minimum.

Staff subsequently reviewed the insurance requirements and found the liability insurance coverage amount could be lowered to $3 million and no longer be required to be named on the rental owner’s policy.

Revelstoke director and Mayor Gary Sulz commended the changes recommended by staff.

“The City of Revelstoke just brought in short-term rental bylaws and policies and some people will be restricted out of that,” commented Sulz. “This allows those who are in Area B to continue or bring new applications in.”

Electoral Area B director David Brooks-Hill was also supportive of the changes.

“I think this is good because it may encourage more people to actually license their vacation rentals,” said Brooks-Hill. “I still think 80 per cent or more are unlicensed in Area B.”

Read more: Short-term rentals: Sicamous looking at cost, impact on community, regulation

Read more: Revelstoke vents about proposed vacation rental rules


lachlan@saobserver.net
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Columbia Shuswap Regional District