This might lead to a sticky situation upon audit or examination, particularly if the three year statute has lapsed but the six year has not.

With that said most let it lapse after the first year. 

This also let's me know if their insurance lapses.

Current insurance is going to lapse next week.

I've passed the test and only have a few months to get licensed before it expires, so I will be sure to not let that lapse.  

(don't let those licenses lapse).  

I have STR insurance, flood insurance and fire insurance, just with a recent mixup by the mortgage the hurricane/wind portion lapsed and I’m trying to get back coverage for Wind/hurricane 

Just let the coverage lapse and move on. 

Be sure to lapse the 20 day notice, in case of suppliers and subs.Anyway, here is the provision where you could stand ground. 

I recommend it to every tenant, but don't require it.Here's my question: if the tenant lets their policy lapse or cancels it, are you going to evict them?