Insurance Agency to Pay Tenant's Monthly Rent

[Jacob Haskins]

Hi BP Community,

I have a short-term rental (previously Airbnb) that I turned into a long-term furnished rental because the neighbors house was damaged by a storm. Unfortunately their home was a total loss due to a tree falling, so I have agreed to rent them my STR as a long-term furnished rental while their home is being rebuilt. Insurance has paid the rent. At first, we only signed a 3-month lease with them until they figured out the next steps, but now they are needing to extend a full 12 months (approved by insurance). My lease states that the tenants are responsible for the payments as a typical lease would, but should I make amendments since the insurance agency is actually responsible for the rent? The security deposit is paid by the tenant.

What kind of changes should I make if any?

Located in Arkansas.  

[Nathan Gesner]

Quote from @Jacob Haskins:

It doesn't really matter where the money comes from. The tenants - those actually occupying the rental - are ultimately responsible for the rent. If it comes from their insurance provider, that's great. If not, then the tenants are responsible for payment.

If you list the insurance provider as the payer and they fail to pay, you'll be stuck with tenants that have zero responsibility for payment. That would be bad.