One of the ways that property managers protect both their property and their renters is by requiring renters to secure and maintain renters' insurance. According to a survey by the National Multifamily Housing Council, the vast majority of property management firms require renters' insurance, but many of them struggle to ensure that renters sustain active policies and provide proof of insurance. Many property management entities address this issue by working with an insurance company that specializes in promoting renters' insurance compliance and protecting rental properties.
When property managers hire renters' insurance companies, they consider a wide range of factors, including the services and pricing associated with the insurance program. Property management firms also evaluate the insurance company’s educational resources for renters, its strategies to ensure compliance prior to residency, and its tracking system for active insurance policies.