Observations of regular and irregular polarimetric variability in late-type stars are reviewed, and the related physical and geometrical effects are discussed. There are indications that the irregular part of the variability could be caused by transient events, possibly associated with flares. Polarimetric observations during flares are reviewed, and preliminary results of new observations of a well-known flare star, YY Geminorum, are presented. The results show that the small flare in YY Gem did not cause any significant variations in linear polarization, while the binary eclipse evidently causes an enhancement in the polarization. The reasons for the difficulties in stellar flare polarimetry are discussed. Finally, future prospects for the observations of flaring stars and for the utilization of linear polarimetry as a complementary method to other techniques of surface imaging of stellar activity and flares are presented.