If you rent or lease, you need renters insurance to protect your personal property and your lifestyle.
What does renters insurance do?
There are three parts to renters insurance. It covers your personal belongings, your liability, and your living expenses if you can’t stay in your home. These protect you because your landlord’s insurance doesn’t cover your personal risks.
Are your personal belongings protected?
Are your personal belongings protected?
When you rent or lease, your landlord’s insurance usually only protects the building itself—not your personal belongings. Renters insurance is the only way to protect your valuables, and it’s much more cost-effective than you’d think.
The amount of insurance you need will depend on the value of your possessions so that they can be replaced. Some events are covered, but things like earthquakes and floods usually aren’t. Here are some of the most common covered events in a renters policy:
- Burst Pipe
- Fire/Smoke
- Lightning
- Theft
- Vandalism
- Water Back-Up
- Wind
Interactive Graphic
Personal Property
Risk Factor
Unpredictable losses can occur to your property due to burglary, fire, water damage, storm, and more.
Solution
Personal property, such as furniture, rugs, TVs, stereos, clothes, and more may be covered under your basic insurance policy. However, items like jewelry, furs, silverware, antiques, collectibles, and other valuables should likely be insured separately.
Limits and Exclusions
Risk Factor
Some types of personal property are subject to limits of coverage under renters insurance policies. These limits vary by the type of property and by what caused the loss or damage. For example, jewelry, bicycles, collectible cards, and coins may have limited coverage or may not be covered.
Solution
Obtain a personal floater or schedule your valuable possessions to ensure you’ll have the money to replace them.
Additional Living Expense
Risk Factor
If the building you live in has a loss from a covered peril under your renters insurance policy that makes your apartment or home uninhabitable, you will need to find somewhere else to live while the repairs are undertaken. This can be expensive and inconvenient.
Solution
Be sure your insurance policy includes additional living expense coverage. If you need to move out and rent another location, this coverage provides for the increase in living expenses–such as moving costs, increased food costs, and other expenses.
Liability
Risk Factor
You are responsible if you or a guest in your unit trips and falls or sustains an injury while on your property.
Solution
Be sure that you have adequate liability insurance to protect for claims made against you for bodily injury or property damage – such as a slip and fall or other allegation. Liability coverage also provides protection should you become legally liable for unintentional bodily injury or property damage anywhere in the world.
Medical Expenses
Risk Factor
You're responsible if a guest is injured while on your property and you may be required to pay their medical expenses.
Solution
Ensure your insurance policy covers this risk. In the event a person is injured in your unit, he or she can submit medical bills to your insurance company. Medical expenses are usually paid without a liability claim being filed against you, with typical limits ranging from $1,000 to $5,000.
Landlord
Risk Factor
You may not be able to rent the apartment or home if your landlord or property manager requires renters insurance and you do not have it.
Solution
Having a renters insurance policy allows you to provide a certificate of insurance to the landlord or property manager showing that you have the coverage required to rent the apartment or home.
Improvements or Betterments
Risk Factor
Any improvements or betterments that you have made to your unit are subject to damage.
Solution
Be sure to obtain coverage for improvements or betterments that you have installed in your apartment or home.
Contents Away from Home
Risk Factor
You may take your valuable property outside of your unit. For example, what happens if your laptop or golf clubs get damaged or stolen while traveling?
Solution
Be sure to add off premises theft coverage to your policy to cover your personal property while your belongings are away from your home. Auto insurance does not usually cover personal property stolen from your car.
Premises Liability
Risk Factor
You may be responsible for damage to your apartment or dwelling should you, for example, have a leaking sink or accidentally start a fire.
Solution
Be sure your policy has liability coverage that includes tenants legal liability or premises liability. Your landlord may require that you to have this type of insurance protection in place as a requirement before renting the property to you.
How does liability coverage protect you while renting?
Liability insurance helps if someone gets hurt at your place or you damage someone else’s property. You might also want no-fault medical coverage to help pay if someone gets hurt.
It’s also important to understand your coverage limits and choose the right liability protection for your specific risks. Review your renters insurance details—there’s usually a total payout limit and a cap for each individual claim.
Get coverage for additional living expenses.
If your rental is damaged and unlivable after a covered event, your policy may help with extra living costs. This safety net can help you recover from such a loss that you would otherwise have to pay for out-of-pocket. This can cover hotel stays, temporary housing, meals, and other costs while you can’t live in your rental.
Exceptions of renters insurance.
There are a few things that are not typically covered in a renters insurance policy. For example, if your car is stolen or damaged while parked at your rental, renters insurance typically won’t cover it. Floods or earthquakes require separate coverage that you would need to add to your policy. Roommates not listed on your policy usually aren’t covered for their personal belongings.
Whether you rent a home or a studio apartment, you can’t afford to not have renters insurance. Contact us to go through your options.
Let’s Get Started
Renters Insurance Quote Request
"*" indicates required fields
Don’t like forms? Contact us at 618-831-8040 or email us.
