I'm with you. I won't list with any realtor who insists on the insurance. I require a security deposit.

Neil, I hear you and agree but after hearing both sides, I have decided to give it a try with the few weeks we rent through realtors. I could be mistaken, but I believe the owner or cleaning person can file a claim through the realtor if damage is found upon turnovers. If renters leave our units "trashed" there is no recourse for withholding security deposits as I believe it may violate tenant-landlord laws. My thinking has changed to in addition to all of the other non-refundable fees required by the realtors in addition to all of the increased city fees for parking, beach tags, etc. will renters want to be forced to pay an additional 50.00 to rent? I think it can go either way and if you have a good agent then they should work with the homeowner on any issue that comes up. For me, I plan on bringing my camera with me to turnovers so that I can document on the spot any damage, condition of the unit, etc. Unfortunately, for every one of us who chooses not to list with a realtor, there are 100 more units who will list.
I am willing to give it a chance as I don't see anyway around it.

I agree that many owners feel they can't live without realtors. I disagree. VRBO works well and each year we have had more renters via VRBO and earn an extra 12%. That adds up pretty quickly. If you have ever tried to fight with an insurer for a 400.00 claim you'll quickly see how you are on the short end of the stick. I am not a lawyer and cannot give legal advice, but damage to our unit is in our contract and we have never had a problem keeping the security deposit to make the repair. The renter realizes they can't fight us in court over it for the $400 deposit we take so they won't go to court either. Renters and realtors both realize that legal fights cost too much. Only the owners are facing the financial risk. Insurers specialize in managing risk. In this case they transfer the risk to the owner. You are entering into a contract you could never afford to use...

For the record, no story disappears from Patch, "magically" or otherwise. http://oceancity.patch.com/articles/vacationing-in-ocean-city-in-2013-look-for-2-new-insurance-options

I appreciate Doug contacting me personally and reposting it. I apologized and he accepted my apology. I still can't explain why I couldn't find the original story via the search box when I went looking, but I I am glad that Patch is not being controlled by evil forces...

Neil,
Question: Why do you think this travel insurance works in so many areas of the country, but will somehow not work in Ocean City?
I recently vacationed in the Outer Banks and paid for this insurance. I did not treat the property any differently than I would had I paid a security deposit.
What forces will effect OC renters that do not effect renters in the rest of the country??
Personally, I think you're panicking just becasue this is new (to Ocean City).

Insurance works great until you file a claim. Since most people don't file claims, the company makes profit. But, when was the last time you filed an insurance claim and had it paid in full without a hassle? The insurance companies first line of defense is to say your claim is fraudulent and want you arrested-don't you see the ads on TV? Ask any doctor just how many valid insurance claims are bounced regularly, just so the company can make more on the float and with the knowledge that 5-10% don't get resubmitted because the people give up. If the insurance company refuses to pay and you have to go to court, they have salaried in-house full time lawyers. You have a maximum of 1,500 you can get back. Can you really fight the big insurers for 1,500? My parents told me that you always did better selling on cash than on credit. Why extend credit to insurers, renters and realtors? I also prefer a deal where everyone wins, not just two out of three, with the one holding the losing cards being me...Obviously, you like insurance companies and are happy to put your trust in their hands. I prefer to keep the control myself and not have to rely on a realtor to submit the claim and then control the proceeds. BTW, the contracts are written so that you only have 3 days to get a claim filed. How consumer friendly!

I am a renter and I hate the idea of this new SDPP. I see it as nothing more than a money grab by the realtors. Come on, a $50 premium that provides $1500 of coverage for 1 week. That is robbery plain and simple. It doesn't benefit the owners and it doesn't benefit the renters. The only people that benefit from an SDPP is the insurance company and the realtors that get a commission on every policy sold.
When I rent in Ocean City I treat the unit as well or better than my own house. I have never had a security deposit withheld! Owners, avoid the realtors that insist on the SDPP, that'll send a message. I as a rentor will take my business to realtors that stay with the traditional security deposits, that too will send a message.

Owners don't like the SDPP. Tenants don't like the SDPP. Who likes the SDPP?

Just follow the money... this is the last sentence from paragraph 16 of a RE/MAX lease:
Agency also receives compensation from CSA's SDPP, and Travel Insurance Programs.