How best to deal with roommates

[Chris Abkarians]

Hi all,

Curious if anyone has ever come across a service that helps insure roommates in case something happens and one of them cannot pay their half of the rent?

Issue: I've had some cases where roommates split rent and one falls ill or has to move out. Both roommates are liable for the payment, but sometimes they can't pay rent until they find a new tenant. I'd like to find a creative solution that would cover this scenario.

I'm considering charging a small monthly roommate fee (where allowed) that would cover 1-2 months of rent while a roommate looks for a replacement. Each roommate would pay, say $50/month extra, to get the coverage. Would need to avoid fraud and adverse selection, which are key issues, but solvable if priced correctly over a large enough customer set.

Anyone know if a 3rd party or insurance company offers anything like this?

Thanks!

Chris