Otso, Assurely, Accelerant Partner to Offer Insurance for Lease Security

Texas-based companies, Otso and Assurely, have partnered to create an insurance coverage option for lease security in the commercial real estate industry. The insurance coverage allows landlords to reduce the risks of leasing while saving tenants of commercial property essential capital when leasing property for their businesses.

The policies are 100% backed by AM Best A- (Excellent) rated Accelerant, an insurtech platform focusing on the needs of small and medium-sized businesses, with a particular emphasis on property and casualty insurance. The policies provide a multi-year coverage solution for commercial real estate securitization providing a fully digital experience.

Decisioning for prospective tenants is powered by Otso’s technology, which uses over 800 credit factors, including exclusive banking history, enabling most applications to be activated in a matter of minutes.

Jeff Radke, CEO of Accelerant said that commercial real estate insurance policies have long lagged behind for lease security, much to the detriment of landlords and tenants across the country. “That’s why we’re excited to partner with Otso and Assurely to bring innovation to this space and support policies that will reduce the risks of leasing,” Radke said.

“We’ve proven the demand for alternative lease securitization nationally with over $12 million in applications this year alone,” said Josh Feinberg, CEO of Otso. “Landlords and tenants all over the country are leveraging us to improve leasing experiences and outcomes in their assets.”

Ty Sagalow, Assurely’s co-founder and chief insurance officer and one of Lemonade’s founding members, said that the commercial real estate industry is rapidly changing and adjusting to new market demands.

“Assurely was built for just such times; it’s where we shine,” he said. “As the program’s managing general underwriter, we are thrilled to partner with Otso, Accelerant, and key CRE players to enable landlords and tenants to succeed in such a changing environment.”

“It’s exciting to see a new specialty insurance ecosystem emerging,” Radke said.

Sources: Otso, Assurely, Accelerant