#United States #New York #Rhino #Jetty #Security Deposit

Rhino and Jetty Merge to Form a Major Player in Security Deposit Insurance

In a transformative move for the rental housing market, Rhino and Jetty announced their merger, leading to the creation of the largest security deposit insurance platform in the United States. This strategic collaboration combines the strengths of both companies, reaching over 6 million rental units and allowing renters to save more than $4 billion in upfront housing costs.

Significance of the Merger

The merger holds significant importance as it addresses growing challenges renters face with high moving costs. On average, moving expenses exceed $5,000, and many Americans struggle to cover a simple $1,000 emergency, making affordable options at the time of move-in all the more crucial. This merger not only solidifies their position in the market but also positions them to better serve renters by alleviating some of the financial pressures related to security deposits.

Ben Lantos and Alex Fiance's Insights

Alex Fiance, Rhino's Chairman and Co-CEO, stated, "Six years ago, renters had no choice but to pay a cash deposit. Together, Rhino and Jetty have established a new norm in this space, paving the way for renters to utilize more affordable deposit alternatives." This sentiment underscores the intent behind bringing together these industry pioneers who have been at the forefront of revolutionizing security deposit terms in the rental industry.

New Offerings and Partnerships

The unified company is expected to significantly enhance its offerings in the realm of move-in solutions. These include not only security deposit insurances but also cash deposit management, renters insurance, and employment loss insurance. Furthermore, the company has plans to partner with 47 of the National Multifamily Housing Council's (NMHC) top 100 property owners, such as Greystar and Morgan Properties, ensuring that their innovative solutions reach a broad audience.

Gina Glorioso, Head of Operations at Highmark Residential, emphasized the growing expectation among renters, noting, "Security deposit alternatives have become integral to leasing today, and our renters appreciate and expect these options."

Future Initiatives and Leadership

As the combined entity moves forward, it will bring together existing insurance partners including AmTrust Financial Services and The Fortegra Group. Furthermore, additional key figures will join the board, such as Barry Karfunkel, co-founder of Adir Ventures, and James Garvey, both of whom bring extensive experience in financial services.

Michael Rudoy, Jetty’s co-founder, expressed enthusiasm about the merger: “This collaboration enables us to integrate our technological and product capabilities, allowing us to provide a comprehensive suite of solutions to our partners, thus simplifying the rental process for both residents and property managers.”

The new company will be led by Georges Clement, Rhino’s current COO, who brings vital insights from his background in housing policy and technology, crucial for steering the company towards its mission of making moving in more affordable for millions of renters.

Conclusion

Rhino and Jetty stand at the cusp of leading innovation in security deposit insurance, expanding their offerings while ensuring that renters have access to affordable and innovative solutions in the housing market. As they operate from their New York headquarters, their unified efforts aim to streamline the renting process and make affordable living a reality for many across the country. With an ambitious roadmap ahead, this merger represents not only a significant business milestone but a profound change in the landscape of rental housing solutions in America.