Whether you’re a first-time renter or someone who has been renting for decades, there’s no denying the excitement that comes with receiving your keys.
Making a rental feel like home usually means filling it with items you love. The best thing you can do for your new home is to protect it. Oftentimes, landlords will require that you have protection in place before handing over the keys.
In the event you have a landlord that does not require renter’s insurance, you may be tempted to forgo the coverage. It is strongly recommended that you reconsider forgoing renters insurance. Disaster can strike at any time, and it’s a good idea to have a policy in place to protect you if it does.
What is Renters Insurance?
Renters insurance is the protection of your personal property within your rented space in the event of a disaster – such as a fire. Your policy can include protection from liability in the case of an injury to a visitor on your property, such as someone slipping and falling.
An important distinction to make regarding renters insurance is that it is not the same as homeowners insurance. Unlike the former, homeowners insurance covers the structure of the property as well as the belongings within it. As a result, homeowners coverage is more costly.
What Does Renters Insurance Cover?
Without the cushion of a policy, you could end up paying out of pocket to replace or repair belongings damaged by a “named peril.” A named peril could mean a fire (including smoke), water damage, or even theft.
However, it is important to note that renters insurance does not cover the cost of damages caused by earthquakes or flooding. If your home or apartment is at risk of flooding, you may want to consider adding flood insurance to your policy. To know what you are and are not covered for, it is best to review your policy to ensure that you’re protected where it matters most.
Theft can happen to anyone. No matter how diligent you may be about locking your doors or windows, it’s still possible for theft to occur. When sharing a building with several other tenants, there is always a risk of a gate or door being left open. On top of this, there is no guarantee that every tenant or their guests has good intentions.
As mentioned earlier, renters insurance can protect you from being held liable in the event of an injury in your home, potentially covering any legal fees. Accidents happen, whether bodily injury or property damage, but that doesn’t mean you can’t be held responsible for them occurring. Make sure you have a policy in place in case such an event were to arise.
Have Any Pets?
Owning a dog or a cat can make finding a rental challenging. After all, not every landlord is willing to accommodate your furry friend. After successfully finding a place that allows pets, you should consider the potential risks and make sure protections are in place.
Some renter insurance policies can cover pet damages to your neighbor’s property. Injuries caused by your pet may also be covered, depending on the breed. As always, it is best to check your policy to make sure coverage applies to you.
Common Myths About Renters Insurance
There are many misconceptions about renters insurance and what all it encompasses. In order to demystify renters insurance, we’ve highlighted a few common myths and shed some light on their realities.
My landlord’s insurance will cover damages to my belongings. While it may seem like your landlord’s insurance would cover the belongings within your rental, that’s not the case. Your landlord’s insurance generally only covers the physical structure of the property and the appliances that come with it.
I don’t have enough valuables to warrant renters insurance. Focusing solely on your expensive belongings as opposed to all your belongings is an easy mistake. Items add up fast, especially the smaller ones such as clothing, decorations, jewelry, books, and other collectibles. All of which can be protected under your policy.
Only personal belongings are covered under renters insurance. Renters insurance can also cover damage to someone else’s property within your home. Additionally, depending on the limits of your personal liability coverage, it can help cover some or all of the medical expenses if someone happens to get injured on your property.
Renters insurance is expensive. It may come as a surprise that the cost of renters insurance can be very affordable. Prices can vary based on a number of factors, such as where you live, but some policies can cost less than $20 each month.
Don’t Wait Until it’s too Late
We spend a lot of time, energy, and money filling our living spaces with items that make it feel like home—but it only takes one unexpected event for damages to occur.
Renters insurance can give you peace of mind in knowing that you and all of your belongings are properly covered. Be sure to secure adequate renters insurance as soon as you move into your new space.
Interested in learning more? If you would like to learn more about renters insurance, do not hesitate to reach out. Our agents at the Horton Group are always at the ready and are more than happy to help get you covered!
Material posted on this website is for informational purposes only and does not constitute a legal opinion or medical advice. Contact your legal representative or medical professional for information specific to your legal or medical needs.