Rent insurance or lease surety, these two names of financial products is not no seven head bug, at some point in your life someone has offered you the insurance mode. The lessor ‘s guarantee deposit insurance better known as Safe rent is tailor – made for each client. The intention is to benefit the tenant (lessee), the owner of the property (lessor) and the intermediary that in general are real estate.
The Surety Insurance , Rent Insurance or Homeowner Insurance , as you want to call it, was created to replace the guarantor figure in residential or commercial property lease transactions. The insurance policy is to provide liability coverage and gives financial protection if the contractor is unable to pay the combined rent to be paid monthly.
For people who want to rent a property for housing like a house, apartment or kitnet and commercial, shop, room or commercial set, shed etc., the owner or real estate agent will offer three possibility to complete the lease:
1 -) Shorts or deposit of 2 or 3 months in advance, very rare nowadays;
2 -) Presentation of Guarantor or Guarantor with property in the city;
3 -) Insurance Rent or Insurance Locatícia bond.
The rent insurance may be necessary in some situations such as when the renter has no guarantor to present as collateral, the real estate does not accept advance deposit as the shorts, in these cases, the only alternative for the renter is to hire the Insurance bail bond .
The rent insurance is valid for one year, that is, the contract is annual and paid in cash regardless of the lease term 12, 24, 36 or 5 years, the settlement is made at the time of leasing the property. By the end of the year, the insurance must be renewed. The annual cost in general is around 130% of the value of a rental.
Copper default of the rent amount, the value of the ordinary expenses of the condominium, covers the value of the IPTU, light consumption bills, water consumption bills and copper piped gas consumption bills.
For the owner
The owner of the property benefits from the rent insurance in several aspects, first that the property does not stay long with this solution, second is the guarantee of receipt of the rent, taxes and charges due in the hypothesis of the tenant can not pay for some reason . For a period stipulated in contract the payment by the insurer is guaranteed, from 3 to 6 months or more.
For the tenant
It can be a good thing, in case you can not present a guarantor, it eliminates the embarrassment of having to ask relatives or friends to be a guarantor, guarantees rent and charges for a contracted period, and offers free services with free labor to minor repairs or repairs to the property. It is not advantageous if the contract is long.
For Real Estate
Who owns real estate wins several times, first with legal costs reduction and with the operational ease of insurance, won by analyzing the tenant’s registration that is made by the insurer, and wins with the insurance commission and with the annual renewal.
Who can do it?
The renter must be at least 21 years old and at least 65 years old. Must be working and have as proof of income of at least 3 times the value of the lease. The requested documents are the basic ones: Copy of the RG, CIC, proof of residence, last income declaration (IRPF). If registered employee, copy of Workbook, last three holleriths. If stand alone, bank statement for the last 3 full months.
In the Brazilian territory several Insurance companies offer the option of Insurance Bond or Insurance rent , “Porto Seguro Insurance Rent”, “Mapfre Rent – Fianza Locatícia”, “CAIXA – Card Rental CAIXA MasterCard”, “Bail Bond and Bond of Bradesco Prime” , “Surety Insurance and Itaú Seguros Rent” and “Rent Guarantee of Sul América Seguros”, these are just some of the best companies that offer the product, choose the one of your preference.