Resident Benefit Package

    Posted by MAIA on Jul 2, 2019 12:01:00 AM

    QUESTION

    This question was answered based upon current rules, regulations & statutes in effect on May 17, 2019

    This has nothing to do with an auto policy  , but perhaps you can direct me to someone else.   We have a client that is renting and has purchase a tenants policy thru our agency, but has received  a letter from the property management  company explaining that they have to purchase a resident benefit package thru  their management company.  Is that legal ?  

    ANSWER

    Irene Morrill:  I don’t know what a “resident benefit package” is and I don’t know if requiring such a product is legal if they can ONLY buy it from that management organization. 

    Dan do you know if such a requirement is legal?

    Dan Foley:  I never heard of a resident benefit package, so I don’t know if it is legal for the property management company to require the residents of an apartment complex to purchase such a package.  Unless I saw what this benefit package entails, I wouldn’t know if it is legal.

    You would think that so long as the tenant provides the management company with a tenant’s policy, that would be sufficient. Where we live, we have to provide the management company a copy of our tenant policy DEC page and requires that we have at least $100,000 in personal liability coverage. But we can purchase the tenant policy through our own insurance agency.

    This document is not a legal opinion and should not be relied upon as such. The intent of this document is to provide a general background regarding the topic or topics discussed, not to provide legal advice. Producers and agencies should consult an attorney regarding specific situations and specific questions with respect to the topic or topics covered in this document. Neither the Massachusetts Association of Insurance Agents, Number One Insurance Agency nor any of its employees shall be responsible for any errors or omissions regarding any statements made in this document, nor any errors or omissions regarding any statutes, regulations, court rules, and/or any other government documents cited in this document.

    Topics: 2018

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