Instahome, Tune Protect to offer landlord insurance
By Digital News Asia April 15, 2022
- Landlords to collect security deposit and secure free insurance coverage
- Covers homeowners from rental liabilities, including unpaid rent, damages
Catcha Group-backed Instahome Sdn Bhd (Instahome) has announced its partnership with Tune Protect Malaysia (Tune Protect) to offer complimentary landlord insurance for worry-free rental.
In a statement, the proptech company claimed that the newly launched landlord insurance is the first in Malaysia where the landlord is able to collect security deposits at the beginning of the tenancy agreement and also secure free insurance coverage.
It added that the landlord insurance aimed at providing additional reassurance for potential financial loss related to rental properties rented out via the Instahome platform.
It covers homeowners from rental liabilities such as unpaid rent, property damages and theft, Instahome said.
The introduction of landlord insurance comes after extensive market research conducted by Instahome, where more than 70% of landlords expressed interest in a product that safeguards their investment properties, it said.
Eric Tan Leong Yit (pic), chief executive officer and co-founder of Instahome shared that although homeowners hold deposits, they still worry about property damages and stolen furniture from runaway tenants.
“We are doing this to bring landlords the ultimate peace of mind. Based on landlord surveys, we believe a combination of traditional rental deposits and additional insurance brings the best of both worlds.
‘Collecting deposit alone might not be enough as loss of rental and property damages can exceed the deposit amount; while a zero deposit insurance package is expensive and time-consuming, and landlords are often faced with tenants that do not keep the property well maintained,” said Tan.
Tan added that the company has listened to its landlords, therefore it is partnering with Tune Protect to help reinforce its commitment to improve its landlord experience.
Instahome said with the landlord insurance, a homeowner can keep the initial two and a half months' security deposit collected, and in the event of a tenant runaway, be entitled to receive up to US$354 (RM1,500) in rental losses, US$118 (RM500) in legal fees, US$3,500 (RM15,000) for malicious damage done to the insured property and US$236 (RM1,000) for theft by the tenant.
According to Janet Chin, chief partnership and ecommerce officer of Tune Protect, the company is partnering with Instahome to empower Malaysian landlords and challenge the archaic renting experience.
“With Instahome digitising the home rental experience, and Tune Protect complementing the experience with our simplicity and accessibility, we are confident that this partnership will be a gamechanger in the property rental market and improve the quality of the rental ecosystem,” she said.
She added that it is all about simplifying the insurance journey for customers and Tune Protect is happy to meet them where it is most convenient for them, such as the Instahome digital platform.
Packaging insurance into Instahome’s offerings simplifies the rental journey for homeowners, offering them end-to-end support. Landlords will receive full coverage support which includes:
- Eviction support with Instahome guiding the landlords throughout the claims process in the court and connecting them with panel lawyers;
- Seven days a week swift customer service to handle queries;
- Free rental collection system that sends rent payment reminders and rewards on-time paying tenants and;
- Maintenance support to provide landlords with reliable contractor recommendations and special rates through Instahome’s partnership with Kaodim.
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