100% of Multifamily Property Managers Are Concerned About Liability—Here’s Why

New Data from the Multifamily Crime Poll

When it comes to property management, liability claims related to security incidents are a growing concern. In our recent Multifamily Crime Poll, we asked industry professionals about their biggest security-related liability worries, and the results make one thing clear: risk management is top of mind for property managers.

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How Concerned Are Property Managers About Security Liability?

We asked respondents to rate their level of concern about liability claims related to security incidents on a scale from “not concerned at all” to “very concerned.” The responses were distributed as follows:

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Which means 100% of property managers are sharing some degree of unease about security liability. And given the nature of security risks in multifamily properties, that concern is well-founded. A study by Liability Consultants, Inc., which reviewed 1,086 negligent security cases over nine years, revealed the following distribution of verdicts and settlements:

• 40% of cases resulted in awards less than $250,000.​
  
  
• 16% ranged between $250,000 and $500,000.​
  
  
• 13% were between $500,001 and $1 million.
  
  
• 13% ranged from $1,000,001 to $2 million.​
  
  
• 10% were between $2 million and $5 million.​
  
  
• 8% exceeded $5 million.

That’s a LOT of money, especially when you consider that one in every four multi-family properties in the U.S. will face a liability case in court each year. 

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What’s Driving Liability Concerns?

To gain deeper insights, we also asked property managers what specific security-related issues have contributed to liability concerns on at least one of their properties. Here’s what they reported:

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The fact that the majority of respondents selected “all of the above” for slip and falls, vandalism, trespassing, resident disputes, slip and falls, and lack of clear video evidence signals that liability concerns aren’t tied to a single issue. Instead, property managers are facing a range of security-related risks that can lead to costly claims and operational headaches.

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What This Means for Multifamily Security

These results highlight an urgent need for property managers to take a proactive stance on security. Liability concerns don’t just stem from one-off incidents—they’re a widespread issue affecting every aspect of property operations. So, what can multifamily managers do to mitigate these risks?

• Invest in AI Surveillance and Remote Guarding: Traditional security methods can only go so far. AI-powered security solutions, like Cloudastructure’s AI Surveillance and Remote Guarding, provide 24/7 monitoring and real-time incident response, significantly reducing the likelihood of false claims and unauthorized access.
• Enhance Access Control Measures: Implementing better access control solutions, such as AI-driven gate monitoring and visitor verification, can help keep unwanted individuals off the property.
• Improve Incident Documentation: Always create an incident report, and like the 30 Second Landlord Legal Lowdown says:
  
  •  Never show the resident the report.
  • Take pictures, even if there’s nothing to see. 
  • Have a surveillance cloud for redundant footag

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Security Risks Are Business Risks—Be Proactive About Security

For property managers, liability claims tied to security incidents aren’t just a legal issue—they’re a financial one. Increased liability means higher insurance premiums, reputational damage, and costly settlements. By investing in proactive security measures, multifamily operators can reduce risk, protect their properties, and provide a safer environment for residents.

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Ready to learn how AI-powered surveillance and remote guarding can help safeguard your properties?

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