From 1 July, Rendin renews the volume of property protection built into the rental agreement. Before, it was 100 times the amount of rent, but from now on, the amount of insurance protection in case of property damage is 10 months' rent. The change will help to quicken damage handling and solve customers' concerns.
The new conditions apply to new customers and won't affect the users with valid Rendin rental agreements concluded before 1 July 2022.
Rendin has been operating on the market for a little over two years. Over 2000 safe rental agreements have been concluded through us during that time. This is a considerable period to look at our practices, analyse previous property violations and assess the introduction of potential innovations.
"Incidents related to property damage have remained at the maximum level of 10 times the amount of rent. This made it clear that there is no need for insurance coverage as comprehensive as we have offered," explains Andres Konsap, Head of Insurance at Rendin. This means that the damage handling process can be made much quicker since the volumes of claims correspond to actual needs.
"Our focus is to help prevent and solve problems that might arise between landlords and tenants. We will not only take action when actual damage has already been created (how typical insurance companies operate, for example) but will help keep property damage as low as possible at the first indication of problems," he says.
Konsap added that if it is observed that the market's risks begin changing or that risk management should be re-evaluated, they are prepared to adjust the protection rate in the future.
If the landlord has set the rent for the apartment at 650 euros a month and they make a contract with their tenant through Rendin, the maximum insurance coverage will be 6500 euros. Compared to the typical deposit, which is usually one month's rent, it is ten times as large. Insurance coverage for rent and utility payments will remain the same, i.e., up to three months' rent.
If the landlord has discovered any shortcomings in the rented space, they must notify the tenant as soon as possible. It is also essential to inform Rendin.
The landlord must have a solid evidence base. The primary basis for this is the transfer-acceptance deed made before the tenancy, which contains up-to-date pictures so that the actual conditions of the living space are documented. The second basis is the condition captured in pictures after something has happened to the property. This way, it will be possible to compare the situation of the residence before and after to assess the possible amount of property damage for filing a claim.
First, the claim is directed at the tenant, and an attempt will be made to reach a compromise. Suppose the tenant is not cooperative and does not compensate for the damages. In that case, Rendin will come to the rescue, taking over the solving of the problem and communicating with the related parties, the necessary cooperation partners and the insurance company.
The damage will be compensated to the landlord, after which the tenant must bear in mind a possible refund (based on the rules prescribed in terms of service).