If you are renting a home or an apartment, you’ll need an insurance policy to cover your possessions. Your landlord’s property insurance policy only covers losses to the building itself.
Why do so many renters not have insurance? One reason is that many people incorrectly assume they are covered by the Landlord’s Policy. Another is that people underestimate the value of their possessions. If you add up the value of just your clothing and electronics, it probably wouldn’t take long to get into the thousands of dollars.
Even if you thought you didn’t need insurance, here are six good reasons why you should get renter’s insurance.
1. It covers losses to personal property. A Renter’s Insurance Policy protects against loss to your personal property, including clothing, jewelry, furniture and electronics. It can quickly add up to a lot more than you realize and a lot more than you’d want to pay to replace everything!
2. It’s Affordable! The average renter’s insurance policy costs $200 per year. Your actual costs will depend on different things like how much coverage you need, the type of coverage you choose, the amount of your deductible & where you live.
3. Your landlord may require it! The landlords policy covers the structure itself & the land, but not your possessions. A growing number of landlord’s require tenants to purchase their own renter’s insurance policies, and require proof of the policy!
4. It provides liability coverage. Liability coverage is also included in standard renter’s insurance policies. This provides protection for you in case someone is injured while in your home or apartment or if you injure someone. It pays any court judgments as well as legal fees, up to the policy limit.
5. Fills in the Gaps of other types of Policies. Say your car is broken into and someone steals your iPad. Auto insurance may not cover the replacement but Renter’s Insurance does! Renter’s Insurance provides coverage for your possessions, whether they are in your home, car, or with you while you’re on vacation.
6. It may cover additional living expenses. If your home becomes uninhabitable for any number of the covered reasons, your renter’s insurance policy may cover “additional living expenses”. Including the cost associated with living somewhere else temporarily, food and more!
Be sure you understand what your policy covers and ask your agent about available discounts, deductibles and your coverage limits.