AssetProtect Plan is what separates your property from all others available for rent and it is fully marketed as a property with insurance coverage provided by the Landlord with no additional insurance requirements by the Tenant.
AssetProtect is a unique insurance product that protects the homeowner (Landlord) against losses for which Tenants are legally liable. Unlike traditional renters insurance, AssetProtect is commercial insurance designed to protect the homeowner first, as the named insured, from Tenant-caused damages only. This prevents you from having to file Tenant-caused damages on your homeowners insurance, plus there are no deductibles to cover if there is a claim for major occurrences.
$100,000 Limit for Tenant’s legal liability for damage to Landlord’s real, improved and personal property, including any fixtures, for no less than the following causes of loss: fire, water, smoke, backup or overflow of sewer, drain or sump, water damage, falling objects, collapse, pet damage, freezing of plumbing, explosion, overflow of appliances, loss of rental income, bed bugs, mold
Tenant’s also get some Personal Contents Coverage:
AssetProtect includes a Contingent Personal Property Contents Coverage Endorsement in the amount of $10,000. The contents coverage offered under this policy provides protection for your personal belongings extending to specified name perils (including burglary) subject to terms of the policy. Coverage may be narrower than a traditional renters insurance policy. If Tenant desires additional renters coverage, Tenant is free to secure at their expense a personal policy from any third-party insurance agency. Any additional policy would be a personal policy and not related to or a replacement for the AssetProtect Policy provided by Landlord during Lease Term.
$10,000 personal contents coverage, for no less than the following causes of loss: fire or lightning, water, smoke, explosion, windstorm or hail, falling objects, collapse, burglary (on-site)
Landlord and Tenant coverage will be begin on the Lease Effective Date. Any Tenant claims are filed direct with insurance agency by the Tenant with no Management Company or Landlord involvement. Policy only active during a Lease Term with a Tenant and ends at that Lease Term End Date per the existing Residential Rental Contract.
AssetProtect policy is included within rent amount for the benefit of Landlord. Tenant’s monthly rent paid includes the coverage costs, HPM then deducts premium amount from your account and pays the monthly premium for the policy while the Tenant occupies property. HPM also files any claim you might have for this policy (on your behalf) to resolve damages. The policy premium cost will be billed and deducted from rent collected on Landlord’s account monthly. This will be a line item on the Owner Statement for AssetProtect Policy.
Helpful PDF Documents:
Here are the most common questions asked about the AssetProtect Plan.
Q: What is the AssetProtect Plan and Coverage?
A: It is an asset insurance product that provides coverage for “tenant-caused” damages to property and is serviced by LeaseTerm Solutions. Also covers up to $1,000 per unit in lost rent.
Q: How does the claim process work?
A: Claims are filed by Management Company on your behalf. The size, severity and complexity of the claim will determine if a desk or field adjuster is involved. On average, most claims close within 30 days but the length can vary depending on the detail involved with the claim.
Q: So when will I need to report a claim on my Homeowners Insurance?
A: Claims that are not “tenant-caused” will have to be filed with your personal Homeowners Insurance, i.e. electrical short in wall that causes a fire with damage (not a tenant-caused issue).
Q: Are there any claim deductible amounts that I will be responsible for?
A: Major occurrences do not have any deductibles, smaller claims: pet damage, bed bug, or mold would be $250 and charged to the Tenant as damages at occurrence or Security Deposit.
Q: Any cost to me during vacancy or is there not any coverage while the property is vacant?
A: Without an active Lease, No Policy, so there are only charges during an active Lease Term.
Q: Are other structures on my property covered that are not attached to the residence?
A: No, any detached structures, i.e. shed, storage, garage, pool, etc. would fall into your Homeowners Insurance filing for claims.
Q: Are Claim payments made to me or the Management Company after a claim is made?
A: Management Company would receive the claim and pay vendors involved in the repairs.