GREENGUARD is a profit center strategy for multi-family and residential property owners which require their residents and tenants to comply with the insurance requirement under their lease or rental agreement. It combines the cost sharing benefits of a group captive but without members incurring the need to contribute capital or collateral. Once accepted, implementation takes less than 30 days. The fronting company is an A-rated carrier, Fortegra. GREENGUARD is a turnkey solution putting in place all necessary online insurance binding systems making the application for coverage simple and quick for residents and tenants to secure insurance coverage. 100% of the program’s profits are returned to participating members based on their pro rata share of contributed premium.
Tenant’s Legal Liability is a community-based property damage liability program. The TLL property damage loss waiver option enables tenants to receive $100,000* of property damage liability protection. TLL is an innovative risk management tool designed to fulfill tenants’ contractual obligations specified in their lease agreement. The property damage loss waiver program is a way for the tenant to meet the indemnification obligation under the lease between the tenant and the student housing community owner/manager. Tenants agree to indemnify and hold the owner harmless for damages or losses originated through their actions.
Most other programs only offer a Tenant’s Legal Liability plan. Under GREENGUARD, there are two options: (1) Tenants Legal Liability, and a (2) Renter’s Insurance Policy. Either option can be used to satisfy the insurance requirement under their lease or rental agreement. You may also offer BOTH options according to your community’s needs.
The program requires a minimum of 1,000 insured units be placed under the plan. Eligible properties include multi-family, senior and student housing. Residents and tenants who sign up under GREENGUARD are automatically accepted.
Tenants who elect to participate in the Tenant’s Legal Liability property damage loss waiver program have easily satisfied the lease requirement to indemnify the community owner/manager against property damage or loss that they are responsible for causing within the community/building, subject to a limit of $100,000. Once the tenant selects the TLL option, the tenant can submit the small monthly cost with rent. The community owner/manager requires tenants to indemnify the community owner/manager against loss.
Tenant’s Legal Liability property damage loss waiver option protects a tenant/resident’s personal property if the following occur: First: The loss submitted by the community was originated by a tenant who is covered under the TLL program and was caused by named perils for loss; Second: The individual loss is less than the $100,000* TLL program limit, and provided that the program limit has not been exhausted first by the community owner/manager, and then by the non-responsible, impacted tenants. If the limit has not been exhausted, the personal property contents of the responsible tenant may be protected up to a maximum of $10,000.
All GREENGUARD program participants are entitled to a pro-rata share by premium volume of the annual profits. GREENGUARD doesn’t participate in these profits, nor does GMSC.
No. Cost of managing the program, marketing, reinsurance premiums, policy issuance, claims and captive management and other related costs, including auditing, are shared among all participants and paid from premiums collected. GREENGUARD offers each program participant in the group an accounting of premiums contributed.
Yes. The program can be accessed by agents, brokers and other professional intermediaries, including advisors and consultants. In successful placements, an annual referral fee is paid. The program can also be directly accessed by owners, managers, developers and related providers of multi-family properties.
GREENGUARD also can act as an incubator for its group participants which have grown in size and thus may wish to seamlessly transition their participation into a cell of their own. A participant, for example, may acquire or merge with a number of additional properties making an individually owned captive (cell) an option.
GMSC is a form of protected cell captive, often referred as a condo captive, that was incorporated and licensed in Vermont in 2012. Greenguard Incorporated Cell (“Greenguard”) was created in 2019 and is an incorporated protected cell (condo) within GMSC. Greenguard is legally segregated and distinct from GMSC and its other protected cells.
For more information on Green Mountain, please visit gocaptivegogreen.com
SRS is the 5th largest captive management firm in the world and the leading independently owned manager. The company has representation in all major US captive domiciles, Barbados, Bermuda, Cayman and Europe. It provides financial reporting, regulatory compliance and program management services to existing and prospective captive insurance companies.
For more information on Strategic Risk Solutions, visit strategicrisks.com