What you'll learn in this article:
- How do I set up a payment plan for my renter?
- What happens if a renter doesn’t pay their rent?
- What installment amount should I collect when I’m using a payment plan?
- How do I pay my Rental Protection premium?
- What if I receive payment from my renter or another party after my claim is paid?
- Do I have to continue paying a monthly premium after my renter moves out of the unit?
- How much does Rental Protection cost?
- Are there additional costs associated with Rental Protection?
How do I set up a payment plan for my renter?
First, talk to your renter and decide what to do. Agree on what they’re able to pay now, and when they plan on paying back the rest of the past due rent.
Next, make your plan official. Use a document of your choice to record the payment plan you and your renter agreed on. Looking for an example? Download our payment plan template
The amount of each payment is up to you, as long as the total amount to repay is the same as the missed rent, and all amounts owed are repaid before the end of the lease. If you discount or forgive part of the rent, Rental Protection coverage won’t apply to this amount.
Finally, set up payment plan installments through Zillow Rental Manager. For each individual payment, your tenant will make as part of the payment plan, request a payment through Zillow.
What happens if a renter doesn’t pay their rent?
If your renter misses a rent payment, also known as renter default, there are a few things you should be aware of.
If the payment due date is before the 15th of the month and your renter is late paying rent, your premium will be debited from your Stripe account on the 15th of every month.
Even if your premium is successfully debited on the 15th, to preserve a claim for missed rent, there are certain steps you’ll have to take. First, you must make commercially reasonable efforts to collect unpaid rent from the renter or enter into a payment plan with the renter within 30 days following the renter default. This can include collecting unpaid rent from the renter, entering into a payment plan with the renter, or attempting to repossess the unit.
Check your policy for complete details on what to do if your renter defaults.
What installment amount should I collect when I’m using a payment plan?
The amount of each payment is up to you, as long as the total amount to repay is the same as the missed rent, and all amounts owed are repaid before the end of the lease. If you discount or forgive part of the rent, Rental Protection coverage won’t apply to this amount.
Be sure to set up the payment plan within 30 days of the missed rent’s due date, or your Rental Protection coverage may be affected. Learn more about setting up a payment plan.
How do I pay my Rental Protection premium?
If your policy started before June 13, 2024: Once your policy activates, your Rental Protection premium will be automatically paid to LeaseLock each month from your account linked to the Zillow payments tool.
If your renter pays rent before the 15th of the month, your premium (plus surplus lines taxes and fees) will be collected from their rent payment. Otherwise, your premium will be debited from your Stripe account on the 15th of every month. This includes scenarios where your renter pays the 15th of the month or later, pays you offline, or misses a rent payment.
If your policy starts after June 13th, 2024: Once your policy activates, your Rental Protection premium will be charged automatically to your designated payment method. Your first premium payment will be processed after your tenant makes their first rent payment on the payment platform. Subsequent premium payments will be processed on the 1st of the month.
What if I receive payment from my renter or another party after my claim is paid?
You’ll need to repay that amount to the insurer. You can’t file or keep payment for a claim under the policy if you’ve received payment for the claim from another party, including the renter. For more information, contact Customer Support to speak with a licensed agent.
Do I have to continue paying a monthly premium after my renter moves out of the unit?
No, if you have notified the insurer that your renter has moved out by canceling your policy. Canceling will end the coverage period, and you will no longer need to pay a monthly premium.
How much does Rental Protection cost?
Rental Protection is available in two coverage levels: (1) $5,000 coverage limit for a $39/month premium or (2) $10,000 coverage limit for a $59/month premium. (*plus applicable surplus lines taxes and fees)
Both options offer the same type of coverage, the only difference is in the coverage limit and monthly cost.
Are there additional costs associated with Rental Protection?
The only costs for Rental Protection are the stated premium plus applicable surplus lines taxes and fees.
Using Zillow applications, leases, and payments tools is free for landlords.
General Disclaimer
Coverage is subject to policy terms, limitations, conditions, and exclusions. Descriptions of coverage are for informational purposes only and do not alter any insurance policy or guarantee any specific price, quote or coverage. For a complete understanding of the coverage available, please review the terms, conditions, definitions, and exclusions of your Rental Protection insurance policy.