Freedom Specialty Launches Lease Protection for Property Owners, Managers

Freedom Specialty Insurance Co. has launched the Freedom Lease Protection Plan policy, which is designed to indemnify multifamily property owners and managers (POMs) against collection losses from tenant defaults. POMs can use the coverage as a means to eliminate traditional security deposit collection, administration and liability. This allows for an increase in tenant demand and occupancy, leading to the potential for POMs to have significant improvements in net operating income versus losses incurred in a security deposit program.

Freedom Specialty has partnered with Lease Data Solutions (LDS), an information services company serving the real estate, insurance and finance industries, to conduct data analysis services. LDS’s proprietary technology and algorithms evaluate POMs’ asset use, management practices and operations management. Policyholders will receive regular portfolio performance analysis and technical support from LDS.

The plan is designed to cover losses incurred by POMs when tenants default on their obligations under a qualified lease.

Covered losses include:

The policy extends the following benefits to POMs:

Tenants benefits from the plan include:

Freedom Specialty Insurance Co. is a subsidiary of Scottsdale Insurance Co..