Landlords and Tenants
Posted: Fri Jan 22, 2010 1:09 pm
This week at our rental housing association meeting the subject of renters insurance came up. It seems that many of the property owners and managers understand how a tenant's renters insurance policy can add a layer of protection for the owner of the unit - yet there are many problems enforcing the requirement to purchase and maintain the renters insurance. For example, those property managers and owners who do require the renters insurance run into problems chasing town renters who let the policy lapse - it creates a lot more work!
One of the owners poised the question: can we simply purchase a renters insurance policy on behalf of the tenant and adjust rent accordingly?
This initially seemed to be an easy and logical solution. However, after really looking at this closely I tend to think it is a bad idea.
So my question to the forum is: what solutions do you see your property owners and managers implementing which help address the issue of renters letting their renters insurance policy lapse?
I think obviously the owners/property managers can be named as additional insured - which would create a scenario where they are notified of cancellation. But are there other solutions?
One of the owners poised the question: can we simply purchase a renters insurance policy on behalf of the tenant and adjust rent accordingly?
This initially seemed to be an easy and logical solution. However, after really looking at this closely I tend to think it is a bad idea.
So my question to the forum is: what solutions do you see your property owners and managers implementing which help address the issue of renters letting their renters insurance policy lapse?
I think obviously the owners/property managers can be named as additional insured - which would create a scenario where they are notified of cancellation. But are there other solutions?