What:
Rhino Insurance helps tenants avoid the cash security deposit requirement, making it easier to secure a rental property.
Why:
One of the main barriers to affordable housing is the standard requirement to put down a security deposit — generally equal to one month’s rent — along with paying the first and last month’s rent.
How:
- With Rhino, instead of paying a security deposit to a landlord, tenants pay about $5 to $10 a month for an insurance policy covering rental property damage and lost rent.
- Rhino requires a low monthly payment instead of a lump sum and provides the coverage that landlord needs, giving tenants more cash to furnish their apartment, pay for movers, invest the cash, etc.
- Monthly premiums are risk-based, depending on the tenant’s credit score. Eviction is not considered in underwriting unless the landlord has obtained a judgment and it’s part of the public record on the FICO score. The monthly premiums are also tied to the required security deposit amount.