Renters Insurance 101: Everything You Need to Know
When you move into an apartment or rental home, you may wonder exactly how you can keep your personal property safely insured against damage and theft. The good news is there are plenty of options for protecting your valuables and feeling secure in your new abode. Here are some common questions renters have. Keep them in mind if you are considering a move to a rental property or if you are already renting but have no insurance.
What Is Renters Insurance?
Renters Insurance is similar to homeowners insurance, in that it protects you and limits your liability if you encounter circumstances such as natural disasters, injuries to guests, and burglaries. It is a monthly insurance policy intended to cover the items in your rental property. Damage to the property itself is not covered by renters insurance. Your landlord should have insurance coverage on the property, which covers structural damages.
What Situations Does Renters Insurance Cover?
The most common ways that your valuables can be lost or damaged while living in a rental property are covered by most renters insurance policies. Natural events such as tornadoes, windstorms, hail, and freezing are generally covered. Damages to your belongings due to fire, smoke, and water damage are commonly covered scenarios, as well. Finally, loss of your items due to theft or vandalism is also something a quality renters insurance policy will cover.
What Events Are Not Covered?
If a renter encounters damages due to natural events such as flooding and earthquakes, these losses are generally not covered by renters insurance. However, if you live in a place where such disasters may occur, there are options available to you. Your insurer will generally offer earthquake insurance as a supplement to your renters insurance if you need it. Flood insurance is available through the National Flood Insurance Program or as a separate policy through your insurance company.
Another situation that may concern you is damage caused to your rental by pets. This is not typically covered by renters insurance, so if your landlord requires you to make any repairs due to pet damage, your insurance will likely not cover those costs.
What Type of Coverage Does Renters Insurance Provide?
Renters insurance usually offers coverage for personal property, liability, and living expenses. Personal Property coverage reimburses you in the event of the loss of things like furniture, electronics, and clothing. Liability will help cover your guests’ medical bills if you are found to be responsible for injuries incurred on your property, as well as repairs to someone else’s property that you make accidentally damage. Coverage for living expenses will help you out if
the property you rent is damaged to the point that you cannot live there and you need to stay in a hotel.
What Does Renters Insurance Cost?
There are always variables that influence the cost of any insurance, but, for the most part, renters insurance is very affordable. Getting quotes from different insurers is always a good idea. In general, a quality renters insurance policy will run around $15 per month, or $180 yearly.
If you are moving into a rental house, call Certified Relocation Solutions today at (973) 370-9968 to discuss your move.