Homeowners have insurance coverage for their home and their belongings, but not all people who rent a house do. This means that if there was ever a flood, theft, fire, or any other accident, they would not be protected and could lose all their possessions inside the home. Keep in mind that your landlord is not responsible for your belongings; you are. Therefore, you need to protect them.
What can a renters’ insurance policy protect against?
The possessions that you value most from:
- Flood (under certain conditions, consult your agent.)
Liability in the event someone gets hurt in your apartment.
Remember that when you rent an apartment or any property, your landlord is no longer liable for keeping things safe inside your apartment or home; you are.
If someone was to trip and fall inside your apartment and sustain a head injury, they could hold you responsible for their injuries, not your landlord. Settlements for personal injuries can easily reach into the thousands not to mention the cost of a defense in the court system.
Coverage in the event you damage someone else’s property by accident.
This is a little complicated but to understand the coverage, here is an example: If your bathtub leaks and the water seeps through the floors and causes damage to the apartment below yours, you could be held responsible for that that damage.
What advantages does renters’ insurance offer?
The greatest advantage is that it will replace your personal items. However, it is important to know, your renters policy, much like a homeowners policy, will follow you when you leave your four walls.
Are there any additional coverages available?
Home computer and smartphone
These two have become a way of life for some people ad they cannot even go a few hours with them. So you have to keep them protected. In addition, the coverage extends to both the computer, components, software and any media. The policy also includes additional causes of loss to be covered by higher limits.
Jewelry and Fine Arts Coverage
Most renters & homeowners policies cap their jewelry coverage at $5,000. Endorsements can be added to both to include items that are valued above the standard limits.
How much does a renters’ insurance policy cost?
Rates are determined by the type of home that you rent, the age of the building, the estimated value of your belongings and details such as, whether there is a wood stove or not. Insurance companies may also take into account whether you have had any insurance claims in the past three to five years depending on which carrier is the best fit.