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Glossary

Liability Control

Liability Control is Velaris's liability program for managed properties. Every home in a manager's portfolio is enrolled in liability coverage at onboarding, with limits from $100K to $1M per occurrence and an opt-out for owners who show equivalent coverage.

By Andrew Bate, Co-founderReviewed by Stuart BateUpdated

Why this matters for property managers

Auto-enrollment ends the declarations-page chase and means every home meets the management agreement's insurance provisions on day one. Certificates naming owners, HOAs, or cities as additional insureds are generated from the same program.

Worked example

A guest falls on an icy step at a managed cabin and claims $60,000 in medical costs. The home was enrolled the day the manager added it to the PMS, so the claim is defended and paid under the portfolio liability limit, and the owner's homeowners insurer is never involved.

How Liability Control enrolls a portfolio

Liability Control is the per-property liability layer of a Velaris program. When a manager connects a property management system, every home in the inventory is enrolled at onboarding and new homes enroll the day they are added, at the limit the program sets, typically between $100,000 and $1 million per occurrence. Owners receive a coverage notice, certificates of insurance naming owners, HOAs or cities are generated from the dashboard, and guest injury and third-party claims are filed from the same place as damage claims. It sits alongside Damage Control, the guest damage layer, and the company coverage that protects the management business itself.

Related terms

General liability
General liability covers third-party bodily injury and property damage claims. If a guest trips on a loose step and breaks an arm, general liability pays the medical bills and defends any lawsuit.
Damage Control
Damage Control is Velaris's per-reservation guest damage program. Guests pay a damage fee at booking, the property manager keeps the fee revenue and retains predictable damage up to a chosen retention, and insurance responds above it. Velaris administers enrollment, escrow, and claims for a flat $9 per reservation plus the actual damage.
Additional insured
An additional insured is a person or company added to a policy who receives some of the policyholder's coverage benefits. Property managers commonly add homeowners, HOAs, and municipalities as additional insureds on their liability policy.
Care, custody or control (CCC)
Care, custody or control is an exclusion in general liability policies: the policy does not pay for damage to property that is in the insured's care, custody or control, such as a home a property manager operates on an owner's behalf or a guest's belongings left in it. Damage to that property has to be covered by a property policy, a damage program or a specific endorsement.

Browse every term in the insurance glossary for property managers.

Liability Control: common questions

Who pays for Liability Control?

Homeowners typically fund the liability layer for their property, in the same way they carry property insurance on the structure. Program pricing is quoted per portfolio.

Can an owner opt out?

Yes, with proof of equivalent coverage that does not exclude short-term rental use.

Related guides

General liability for property managers
Read the full Velaris guide.
Insurance for vacation rental property managers
Read the full Velaris guide.
Certificates of insurance
Read the full Velaris guide.

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