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Rent Guarantee Insurance Calculator

Rent guarantee insurance covers landlord losses when a tenant defaults — typically 6 months of rent plus eviction legal costs. Premium is 1-3% of annual rent. This calculator compares the annual premium to expected loss at a given default probability so you can decide if coverage is worth the cost.

Monthly rent

Annual premium as % of annual rent

Coverage (months of lost rent)

Eviction legal cost included

Estimated default probability

Annual RGI premium

$576

Max coverage (6mo rent + eviction)

$17,900

Expected loss without insurance

$1,432

Premium cost above expected loss

-$856

How the math works

Rent guarantee insurance (RGI) — also called tenant default insurance — covers lost rent during tenant default + eviction legal costs. Premium: typically 1-3% of annual rent. Worth it when tenant screening is light or rent is high relative to landlord reserves.

Coverage typically requires screening minimum (credit score, income verification) and 6-month maximum payout. Some insurers add a waiting period (30-60 days) before claim payouts start.

Editorial noteMaintained by EveryCalc - Reviewed June 2026

EveryCalc calculators are designed for fast, practical estimates with transparent inputs and no required account. We use plain formulas, visible assumptions, and related tools so visitors can check the result from more than one angle.

Results are informational only. For financial, tax, legal, medical, construction, or other high-impact decisions, verify the output against primary sources or a qualified professional.

Learn more about our review process on the EveryCalc methodology page.

How this calculator works

What this page estimates

This Rent Guarantee Insurance Calculator is built to give a quick, browser-based estimate for rent guarantee insurance. Rent guarantee insurance covers landlord losses when a tenant defaults — typically 6 months of rent plus eviction legal costs. Premium is 1-3% of annual rent. This calculator compares the annual premium to expected loss at a given default probability so you can decide if coverage is worth the cost. The inputs stay on the page during normal use, and the result should be treated as an estimate for planning, comparison, or education rather than professional advice.

Calculation approach

The calculator applies the standard relationship implied by the inputs, then formats the answer so it can be checked and reused. For finance tools, the most important step is using consistent units, rates, time periods, and assumptions before comparing the result with another calculator or outside quote.

Example workflow

For example, start with a realistic value you already know, change one input at a time, and watch how the answer moves. That makes it easier to tell whether the result is being driven by the main amount, the rate, the time period, or a unit conversion.

Practical checks

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Run a low, base, and high case when the inputs are estimates.
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How to interpret the rent guarantee insurance result

Best use

Use the result as a planning number for comparing payments, rates, returns, tax reserves, or cash-flow choices before you request a quote or make a commitment.

Cross-check

Compare the answer with the contract, lender estimate, tax form, brokerage statement, payroll record, or invoice that will control the real-world outcome.

Watch for

Do not rely on a single optimistic rate, return, or fee assumption. Money pages work best when you run low, base, and high cases and keep professional advice separate from the estimate.

This page belongs to the Finance calculator library, so the answer should be read in the context of the decision you are modeling rather than as a universal rule.

Before relying on this rent guarantee insurance estimate

Most calculator mistakes come from the inputs, not the arithmetic. Use this short audit before you reuse the answer in a spreadsheet, quote, application, or important conversation.

Confirm source numbers

Match balances, rates, fees, taxes, income, and payment dates against the lender quote, payroll record, tax form, statement, invoice, or contract.

Separate cash flow from total cost

A lower monthly payment can still cost more over time if fees, interest, taxes, or a longer term are hidden in the structure.

Run conservative cases

Test at least one higher-cost or lower-return case before using the output for a purchase, refinance, investment, loan, or tax decision.

Rerun this page when the rate, price, term, fee, tax rule, income, expense, or expected holding period changes.

How to Use

Enter monthly rent and annual premium as % of annual rent.
Enter coverage months and eviction legal amount.
Enter estimated tenant default probability.
Read premium cost and expected loss without insurance.

Frequently Asked Questions

Who should buy it?

Landlords with limited reserves or high-value units where one default can drain months of cash flow. Also useful in tenant-friendly eviction jurisdictions where the process can stretch 6-12 months.

Tenant screening required?

Yes. Insurers typically require minimum credit score (640+), income verification (3x rent), and clean rental history to issue coverage. Screening standards align with good landlord practice anyway.

Claim process?

Typical: 30-60 day waiting period from first missed payment before claim payout starts. Landlord must pursue eviction through the process. Most insurers require proof of reasonable collection efforts.