Multifamily insurance technology provider TheGuarantors is rolling out a new product as an alternative to standard security deposits.

Security Deposit Replacement replaces hefty security deposits with a much lower, one-time fee that can make renting in high cost markets more affordable.

"SDR extends our range of services designed to eliminate the many inefficiencies in the rental process, giving tenants more options and helping landlords reduce risk and improve financial outcomes," TheGuarantors Managing Director Joe Ben-Zvi said in a statement.

"With SDR landlords are getting a better protection compared to standard security deposits, while apartment seekers drastically reduce the high upfront costs of rentals," he added.

Security deposits are big money in the industry, and U.S. landlords hold security deposits in excess of $50 billion. SDR allows landlords to avoid the administrative burden of holding multiple security deposits

"Our full suite of risk reduction products helps make the apartment rental process safer, easier, and less costly for landlords and tenants alike, which ultimately creates more trust in landlord-tenant relationships," TheGuarantors Founder and CEO Julien Bonneville said in a statement.

 "As we continue to expand our offering and user base, TheGuarantors is excited to help more individuals find and move into their new homes," he added.