Master Tenant Liability Insurance Policy and Renter’s Insurance (New)

Master Tenant Liability Insurance Policy and Renter’s Insurance

Looking to Implement a Tenant Liability Policy? Property Managers now have a profitable solution to provide their Residents with Tenant Liability Coverage or Renters Insurance!

What are the benefits?

Tenant Liability Insurance & Renter’s Insurance

Know Your Options

A Master Tenant Liability policy with contents has significant gaps compared to Renters Insurance:

No coverage for water damage due to freezing or water backup
No loss of use if property is uninhabitable (Due to covered event)
Limited sewer back up coverage
Tenant is not a named insured
Low limits on jewelry and valuables
No theft, vandalism, or disappearance coverage
Roommates not covered

A Master Tenant Liability policy with a Renter’s Insurance
option is the best of both worlds.

Our Plan Options:

Option 1:

Tenant does nothing and will be automatically enrolled in your Master Tenant Liability Insurance Program.

Tenant Liability Insurance DOES NOT include coverage for:

Cost: $9.00 per month

Option 2:

If the tenant wants their contents covered they can purchase renters insurance from your preferred provider though SureVestor. The policy is pre-underwritten and meets the terms of your lease while also providing coverage for:

Minimum $100,000 in personal liability coverage and $10K in personal contents coverage.

Instant approval
Provides a robust liability limit with a reputable insurance carrier
Provides broad coverage for personal belongings
Provides $500 coverage for pet damage
Provides $10,000 coverage for pet bite

Cost: Depends on limits, coverages, and deductibles selected.

Option 3:

Tenants Purchase renters insurance from a licensed agent and provide proof of coverage to PM. Lists Property Management Company as an “additional interest.”

Cost: Varies on your provider and applicant’s creditworthiness, among other factors

Benefits Comparison

Category	Landlord Legal Liability Only (AKA Tenant Liability TL Policy)	TL + Resident Contents	HO-4 (Renter’s Insurance Policy)
Name Insured	Manager	Manager	Manager
Typical Limit	$100,000 in LLL (Landlord Legal Liability) coverage from certain accidental or negligent tenant damages	$100,000 in LLL (Landlord Legal Liability) plus a supplemental limit of $10K for resident’s personal contents	Minimum $100K in personal liability coverage and $10K in personal contents coverage, can be increased based on personal needs
Typical Annual Cost to Residents	$120-$144	$144-$160	$180 (varies depending on limits + deductibles)
Typical Benefit to Manager	Manager is the named insured Force-place model allows PM to enforce insurance requirements included in leases Monetizable (using an admin fee) Easy to implement/manage	Offers coverage for the landlord’s assets like a typical TLI program Monetizable (using an admin fee)	Provides residents with a robust liability limit with a reputable insurance carrier PMC automatically listed as an ‘Interested Party’
Typical Benefit to Resident	Offers protection from certain accidental or negligent damage of up to $100K per occurrence with no aggregate Satisfies TLI lease requirement Automatically billed with rent (monthly) No Deductible ($250 min claim)	Offers protection from certain accidental or negligent damage of up to $100K per occurrence with no aggregate Provides limited coverage for personal belongings, to a maximum of $10K	Includes: Personal property coverage Theft and Vandalism (As per the policy) Coverage for damage due to fire, smoke Includes water damage Min $10,000 Contents
Program Drawbacks	Tenant is not a named Insured No Personal Property coverage Limited scope of coverage means not all resident caused damages are covered	Tenant is not a named Insured No theft, vandalism, or disappearance coverage No coverage for water damage due to freezing or water back-up Roommates not covered Low limits on jewelry, watches, silver, etc. Potential for aggregate limits PM could be held liable	More expensive than just TL only coverage

Frequently Asked Questions

What are the 'certain' accidental or negligent damages covered by TLI?

Tenant Liability Programs only offers coverage from accidental or negligent tenant damages resulting from fire, smoke, explosion, backup or overflow of sewer, drain or sump, water damage, falling objects and collision with vehicles.

How does a tenant benefit from this coverage?

Tenant’s benefit from this by having some protection in the event they cause damage to the landlord’s assets.

Is the property manager required to have an insurance license?

NO. The property manager is implementing an insurance requirement as a condition of the lease. This program allows managers to enforce that requirement through something other than turning a resident away of threatening eviction. Contact Beecher Carlson at (404) 460-1425 should you have questions about these insurance options.

Who is backing this insurance?

The Tenant Liability Insurance is underwritten by Brit Global Specialty USA.

Sign up for your Master Tenant Liability Policy Today!

Want more information – Set up a discovery call!

Master Tenant Liability Insurance Policy and Renter’s Insurance (New)