Most people don’t give much thought to purchasing insurance to protect their property until they buy a home. The best way to protect yourself and your possessions from the unexpected is to purchase insurance. There’s no better time than now to find out more about renters insurance and determine whether purchasing a policy is right for you.
What Is Renters Insurance?
Renters insurance acts as a safety net to protect you and your property in the event of a disaster. Basic renters insurance covers damage to your property caused by fire, flooding, and theft. If you are displaced by damage to your home, renters insurance can cover the cost of a hotel during the time you are unable to occupy your home, and may also cover the cost of food during this displacement.
In addition to this coverage, renters insurance also offers medical and legal aid in many covered events, often including:
Someone is injured in your home
You accidentally cause damage to a surrounding property
A leak from your apartment floods the apartment below
Many more events
It is a common misconception that your landlord has insurance that covers you and your property in the event of any problems or damage; while they typically will have landlords insurance, this insurance only covers the structure of your rental, not your possessions inside of it. This means that even if an appliance within your home breaks and causes damage to your possessions, their insurance likely won’t cover it.
The Cost of Renters Insurance
Contrary to what you may think, renters insurance is very reasonably priced, coming at a much smaller price tag than home insurance. To determine the monthly cost, an insurance company takes into account your location, the type of structure, and any liabilities that may be present. All of this along with an estimate of the value of your property allows an agent to easily calculate your deductible.
The Truth About Renters Insurance
Unless they actually have renters insurance themselves, many people don’t fully understand this type of insurance, what it costs, what it covers, and if it’s really worth having. Here are a few common misconceptions we would like to clear up to be sure you have all the facts prior to determining if renters insurance is right for you.
My Property Isn’t Worth Enough to Bother with Renters Insurance
Many renters are students, newlyweds, and young professionals just starting out who haven’t been on their own long enough to have accumulated very many belongings. Given that renters insurance covers not only your property but also several important liabilities, even if the items you own aren’t worth much money, this type of insurance offers you an invaluable resource. Also, it’s wise to walk through your home and take inventory of your property—it’s likely you’ll discover your stuff is worth more than you think.
My Roommate Has Renters Insurance, So I’m Covered
Even if your roommate is carrying their own renters insurance, their policy does not protect you and your property, too. Your roommate didn’t account for the value of your property when they set up their policy, and no insurance company is going to cover any damage or liability caused by anyone else in the household who is not included in the policy.
Since My Stuff Isn’t Worth Much, I Want the Lowest Coverage Available
It’s best to do research prior to deciding on a renters insurance policy—the policy with the lowest deductible may not always be best for the coverage you need. The coverage and cost of the lowest deductible plan will vary from company to company, so make sure you find the best one for you. Make sure your policy accounts for any potential hazards where you live.
Contact Us Now to Get Started
Renters insurance is essential when you want to be sure both you and your property are protected in the event of an emergency.
Contact Insurance Center Associates to learn more about the services we offer, consult with an independent agent, and sign up for renters insurance today.