The parties to these Terms & Conditions are:
- Leap Insurance Agency, LLC (“Leap”), and
- You, the Tenant (the “Principal”).
These Terms & Conditions set forth the terms and conditions of your relationship with Leap and any Insurer engaged by Leap to provide a Leap Rental Bond (“The Policy”) as described below, to the Landlord, and their respective obligations. In these Terms & Conditions, the terms “you”, “your”, “me”, “I”, “my” and “mine” refer to you, the undersigned Tenant(s) (“Principal”).
TENANT EXPRESSLY ACKNOWLEDGES, UNDERSTANDS AND AGREES TO THE FOLLOWING IMPORTANT TERMS:
- I intend to be legally bound by these Terms & Conditions.
- I am purchasing coverage of a Leap Rental Bond that is issued for the benefit of the Landlord.
- The premium that I am paying for this Policy is not a security deposit, is not insurance and I will not receive the premium back at the end of my lease.
- I UNDERSTAND, AND EXPRESSLY AGREE AND ACKNOWLEDGE THAT ANY ASSISTANCE PROVIDED TO ME BY THE LANDLORD AND THE AGENT AND THE ISSUANCE BY THE INSURER OF THE POLICY, DOES NOT IN ANY WAY RELIEVE ME OF ANY OF MY OBLIGATIONS TO MAKE PAYMENTS TO THE LANDLORD UNDER THE LEASE.
- I understand that by selecting a payment plan I am consenting to pay the agreed upon premium, and any annual rate adjustments, or inflation factor for the duration of my tenancy.
- I agree to a rent inflation factor where the Policy limit may be adjusted at each renewal to reflect reasonable increases in rents as allowed by local law.
- I understand that I may cancel this Policy purchase for a full refund only within five calendar days of the lease start date, provided that the cancellation is submitted in writing to Leap and provided I post the required security deposit with the Landlord in cash or by cashier’s check, for which the Landlord must also indicate receipt to Leap.
Terms and Conditions
In consideration of the Premium paid, and the mutual covenants and obligations set forth herein and within the Security Deposit Replacement Policy, the parties agree as follows:
The Premium shall be paid in monthly installments agreed upon at inception and prior to issuance of the Leap Rental Bond. The Premium is a non-refundable fee payment for the Policy and is not subject to rebate or adjustment for any reason unless required by applicable law. Premium subject to a payment schedule will be due for the duration of tenancy, and any outstanding balance becomes due in full in the event of a claim. To ensure timely payment of all sums due hereunder, the Tenant hereby authorizes and instructs Leap to debit the Tenant’s account on file on the 1st of each month for the term of the tenancy. You understand and agree that if an automatic debit to your account of the monthly premium is rejected, refused, returned, reversed, or unprocessed, the payment will be reprocessed in seven days. If the payment fails on the second attempt, within ten days Leap will reprocess the balance of the premium due for the remaining unpaid months of the lease term.
The Premium is not, nor is it intended, nor should it be construed as, a payment to the Landlord. The Premium is not and shall not for any purpose be considered a payment of rent or other consideration to the Landlord. The Policy is not a security deposit, is not insurance benefitting you and you will not receive the Premium back at the end of your Lease.
You understand that if you do not pay your rent or meet your other obligations to the Landlord, the Landlord may make a claim under the Policy. If such a claim is paid by the Insurer, you agree that you will reimburse the Insurer for all amounts that the Insurer has paid to the Landlord as a result of a claim made under the Policy up to the maximum coverage amount as defined in the Policy.
You understand and agree that the coverage provided by the Policy is solely for the benefit of the Landlord and allows me to qualify and enter into the lease. I further acknowledge and agree that I have no right to seek any benefits from, or payments under, the Policy. I expressly acknowledge and agree that I am not a third-party beneficiary, insured party, or any other type of beneficiary with standing or capacity to receive any benefits under the Leap Rental Bond.
You understand and agree that if you do not pay your rent or meet your other obligations to the Landlord, Insurer (or Leap as their agent) may report this information to the three major credit bureaus Equifax, Experian and TransUnion.
You understand and acknowledge that the Landlord may be compensated by Leap for endorsement and/or services associated with administering this Policy.
All parties agree that the Insurer may cancel the Policy without notice, for any material omission, material misrepresentation, material misstatement, or any act of fraud by the Tenant or Landlord, and such cancellation shall extinguish all liability and obligations of the Insurer.
If the Landlord has any of the Tenant’s money on deposit at the end of the lease, it will apply this money first to pay the claim. If the Insurer pays the Landlord on Tenant’s behalf and then tries to collect reimbursement from Tenant up to the maximum coverage amount and any outstanding premium:
- a) I authorize anyone to furnish the Insurer (or its employees or agents or assigns) any information that will assist the Insurer in collecting the money owed to the Insurer; and
- b) The Landlord is not a party to, and is not responsible for, the actions that the Insurer takes during any collection efforts.
Co-Tenants: Each person signing these Terms & Conditions as a Tenant shall be jointly and severally liable with each other Tenant signing these Terms & Conditions for all obligations under the Lease and these Terms & Conditions. If I am sharing the apartment with one or more cotenants (regardless of whether they have signed these Terms & Conditions as a Tenant), I understand and agree that the Insurer will be able to seek the full performance of all obligations under the Lease and these Terms & Conditions from me individually, even if a co-tenant may be responsible for a failure to perform any Lease obligation or obligation under these Terms & Conditions.
Notices: Notices by any party to any other party may be delivered by hand, by certified mail, return receipt requested, or by overnight delivery service, at the addresses stated below.
Governing Law: these Terms & Conditions will be interpreted in accordance with the laws of the State of New York, without regard to principles of conflicts of law.
Miscellaneous: Any amendments or modifications to these Terms & Conditions will only be effective if they are in writing and signed by the person against whom enforcement of the amendment or modification is sought. No oral modifications or waivers of any of the requirements of these Terms & Conditions will be effective. The Insurer is a third-party beneficiary under these Terms & Conditions.