Many renters are under the mistaken idea that if they rent, their valuables are covered against loss by their landlord’s insurance policy. This couldn’t be further from the truth. To cover your belongings, you’ll need your own renters insurance policy. The type and amount of renters insurance you’ll need will vary based on several factors. Let’s take a closer look at renters insurance so you can decide if it’s right for you.
The property protection provided by a renters insurance policy is much like homeowners insurance, except there is no coverage for a structure (that is covered by your landlord’s insurance). Here are more details about what renters insurance covers for you.
A renters policy covers your personal belongings and well as providing personal liability coverage if someone should be injured while at your apartment. The liability portion also covers medical costs associated with anyone who is injured while at your home, as long as they don’t live there. Here is a little more details about each type of coverage in a renters insurance policy.
Contents coverage: The contents coverage portion of your rental insurance policy covers the personal belongings of you and your family members who live with you. Your roommates are not covered and would need their own renters insurance policy. Even though a roommate’s belongings are not covered, if you have a guest staying with you, their personal property is covered by your renters insurance. If you are temporarily away on vacation, your contents are still covered by your renters insurance. If you are in the process of moving, you may have some contents coverage, but limits and restrictions may apply.
Liability coverage: Personal liability coverage protects you if someone is hurt on your property. It will help pay for medical bills and court costs if you are sued. You should note; however, if you operate a business out of your home, the liability insurance from your renters policy may not extend to your business operations. You may need to purchase a business insurance policy. Additionally, if an accident occurs in a car or a boat, it’s not covered by renters insurance. Those type of accidents are covered by either car or boat insurance.
Additional living expenses: Renters insurance may pay for additional living expenses to live in a hotel or other temporary housing if you have to leave while your apartment is being repaired due to a covered claim.
Even if you think your possessions aren’t that valuable, think about how much it would cost if you had to replace them or how much money it would cost you in medical expenses and legal fees if someone were injured at your home. If you are still wondering if renters insurance is right for you, give us a call today! (859) 781-0434
