Accommodation Security Cover Grant - for suppliers
Before you offer someone accommodation, you may want assurance that any outstanding costs will be covered when they leave. If so, this grant can give you that assurance.
This grant is not an upfront payment.
If you need this assurance, people can apply for the Accommodation Security Cover Grant before they move in. If it's approved, we'll give them a 'Letter of Assurance' to give to you.
We'll pay the grant when the accommodation period ends, if the person still owes you costs when they leave.
The Accommodation Security Cover Grant can pay for costs like:
- unpaid accommodation costs
- damages to property or chattels
- missing chattels
- rubbish removal and cleaning costs if you've had to pay for these
- change of locks or replacement keys
- any costs included in a Disputes Tribunal or court order.
The grant can also provide assurance instead of a bond or security deposit for relocatable homes, e.g. cabins or caravans.
Talk to us if you have questions about accommodation costs that are not on this list.
How it works
When someone applies, we'll check they meet the criteria. If it's approved, we’ll give them a ‘Letter of Assurance’ to give you and it will explain:
- what the Accommodation Security Cover Grant is
- the conditions that need to be met
- how to make a claim, and
- how we’ll pay you.
At the end of the accommodation period the person can make a claim to get the grant paid. If they don't agree to the costs, you can make a claim instead as long as you have a Disputes Tribunal or court order. The most we can pay is up to 4 weeks of accommodation costs.
Accommodation Security Cover is for accommodation agreements that the Residential Tenancies Act 1986 does not apply to. For example, some boarding or flatting arrangements. If you're entering an agreement that the Residential Tenancies Act 1986 does apply to, we would look at a Bond Grant.
How long cover is for
Cover is valid for up to 1 year from the start of the accommodation agreement.
If the person is staying there for longer than 1 year and you need further cover, they can apply for another grant before the 1 year ends.
Documents you need to provide
Verification that you need this assurance
When someone applies, we'll need verification that you need them to have this grant to move into the accommodation.
This needs to be a letter from you which confirms:
- your contact details
- the address of the accommodation
- start and end dates of the accommodation period, and
- that you need this cover.
The accommodation arrangement
When someone applies, we'll need to see verification of the accommodation arrangement you have.
Depending on the type of accommodation you provide, this may be either:
- an accommodation agreement, or
- a detailed letter, confirming the arrangements and what the costs are.
Accommodation agreements cover things like:
- your contact details
- the person’s name
- the address of the accommodation
- start and end dates of the accommodation period
- the person’s weekly costs
- a breakdown of any service costs, if applicable, like electricity and internet.
Evidence of outstanding costs or damages
When a claim is made, we'll need to see evidence of the outstanding costs and/or damages that are being claimed for.
This could be:
- invoices for damages, or
- bank statements showing accommodation costs owing.