Risky Business

Are Your Properties Protected?

By Lee Ann Stiff on Jun 28, 2018 in News, People

A recent Yardi Matrix research bulletin titled “Flood and Fire: The Multifamily Sector’s Response to Natural Disasters,” assesses the state of U.S. multifamily markets in areas hit hard by natural disasters in 2017 including hurricanes and wildfires. Hurricanes alone caused around $110 billion in total reported property damage.

The bulletin also covers the impact of these events on the insurance market, and advises that property owners in the private insurance market should be ready for increasing rates and deductibles along with tightening policy terms and conditions.

It’s Hurricane Season Again

As cited in an April 2018 Multifamily Executive article, the U.S. was hit with 16 severe weather events in 2017. And now that this year’s hurricane season is underway, property owners and managers should ensure that their communities are as safe and sound as possible to prevent against future losses should a major storm hit.

One key tip: install critical infrastructure above flood-prone areas. Recommended actions outlined in the article include relocating electrical panels, mechanical equipment, meters and shut-offs to higher ground. Sealing cracks in walls and foundations and installing sump pumps will go a long way to shoring up a property. Using materials that are designed to survive water exposure and resist mold for framing, wallboards, floorboards and ceilings is also a great plan.

Mitigating Property Risk

When it comes to safeguarding properties, being ready for extreme weather isn’t the only consideration for property owners. To protect against resident-caused damages, a required renters insurance program is a widely accepted industry best practice. For property owners without renters insurance at their communities, now is a great time to consider implementing a program to mitigate risk. A program that includes fast and easy signups for residents and automated compliance monitoring for property managers is ideal.

ResidentShield Protection Plan is a required renters insurance program that reduces property risk from resident-caused loss, and also provides coverage for residents. To ensure success, marketing and training materials are provided for leasing staff, along with simplified online enrollment. Customer service is included, so property staff is “hands off.” Compliance monitoring is built into Yardi Voyager, with reporting at the click of a button. Plus, residents can easily sign up for ResidentShield as part of the online leasing process in RentCafe.

Clients Tell Their Stories

According to Shelly Gil, multifamily regional manager at Tarragon, “ResidentShield is easy to use and provides residents a simple online signup process. We love that it seamlessly integrates with Voyager — and at the touch of a button, we can pull reports to confirm our properties are fully covered.”

Before ResidentShield, Tarragon incurred thousands of dollars in unrecoverable expenses due to resident-caused damages. Now, Tarragon has achieved 100% coverage and compliance at all its properties. To learn more, read Tarragon’s success story.

For Moss & Company, a full-service property manager based in Southern California, ResidentShield automates enrollment in the leasing workflow to ensure all its properties are protected. Brandon Gray, financial analyst at Moss & Company, said, “A resident-caused fire at one property resulted in $70,000 worth of damage. Thanks to ResidentShield, the property damages were covered.”

Gray also noted the company benefits from automatic charge and ledger updates in Voyager, along with terrific customer support from the ResidentShield team. Read Moss & Company’s success story for details.

Are you ready for better peace of mind, for you and your residents? Along with addressing property safety and readiness with regard to severe weather, learn more about ResidentShield required renters insurance, part of Yardi’s single connected solution for multifamily property management.