Assurant has revealed that it has expanded its SureDeposit product to commercial property owners, management companies and their tenants.
The product was previously only available in the residential market.
SureDeposit allows commercial property managers to offer a surety bond payment as an alternative to a security deposit. With SureDeposit, tenants have the option of paying a one-time non-refundable payment to enroll in the surety bond program. The product reimburses the property manager should the tenant be unable to fulfill financial obligations in the lease agreement.
“We recognized the need among commercial property managers for increased loss protection, as well as for tenants - especially small businesses and start-ups – to have an alternative to large cash deposits,” said Assurant president of multifamily housing Steven Hein. “SureDeposit allows commercial property managers to raise their minimum security deposit requirements to a more appropriate level. The program offers better loss protection, while providing flexibility and a low-cost solution so tenants can direct their cash back into their own business.”
Hein also mentioned that the product can be used by property managers to promote their properties.
“Being able to advertise ‘no security deposit for qualified tenants’ can play an important role in attracting new lessees and helping increase occupancy,” he said.
