Behind the RENT Ordinance: Part 7

Unprotected Tenants? O-25-88 Fails to Require Renters Insurance

Renters insurance is one of the simplest, most effective tools tenants can use to protect their belongings, reduce liability, and ensure stability after an emergency. That’s why many housing providers include it as a basic lease requirement.

But Ordinance O-25-88 prohibits landlords from requiring tenants to carry renters insurance—leaving both renters and property owners exposed.

In this seventh installment of our ongoing blog series, we’re focusing on an overlooked but critical flaw in the proposed Ordinance -- its failure to promote renters insurance and its attempt to ban landlords from requiring it.

What’s in the Ordinance?

In O-25-88 landlords would be prohibited from requiring tenants to carry renters insurance as a condition of the lease. This ban applies broadly and would override existing lease agreements, regardless of property size, type, or prior experience with tenant-related losses.

Why This Matters

Without renters insurance, tenants are left vulnerable. If a fire, flood, or accident occurs:

• Tenants could lose everything—furniture, electronics, clothing—with no financial recourse
• Liability for accidental damages or injuries may fall on tenants or property owners, creating legal and financial risks
• Landlords may be forced to rely solely on their own insurance, which often doesn’t cover tenant negligence or personal belongings

The average cost of renter's insurance in Albuquerque is approximately $18 per month—and provides peace of mind for both parties. Removing this option from lease agreements is not just unnecessary government overreach—it’s a disservice to the very renters the ordinance claims to protect.

A REALTOR® Perspective

REALTORS® routinely educate tenants about the benefits of renters insurance. It’s not about profit or exclusion—it’s about protection. In fact, requiring insurance often encourages a more responsible rental culture, where everyone shares in protecting the space they live in.

By banning this requirement, O-25-88 increases risk for everyone and misses a valuable opportunity to promote tenant education and financial safety.

Stay Informed. Stay Ready.

The RENT ordinance was defeated at committee—but it was never formally withdrawn and may return at the next LUPZ meeting on Wednesday, August 13th.

REALTORS® across Albuquerque will continue advocating for policy that protects tenants and property owners. And we’ll keep educating our members on what’s at stake if O-25-88 resurfaces in its current form.

Watch for Next Week's Blog

Relocation Costs on You? O-25-88 Mandates Landlords Pay Tenants to Move