Do I Need Renters Insurance – Rental Insurance?

Renter’s insurance is a type of insurance that protects the renter from a monetary loss in a fire or theft. Often times a landlord will have an insurance policy on the rented property, though more often than not this policy will not cover your belongings in the case of a fire or theft. If you would like to protect your belongings from getting stolen or incinerated, renter’s insurance would be the best option.

There is an option that exists for some renters insurance policies that includes personal injury liability for you and others in your rental home. This add-on to your current policy can turn out to be very beneficial in saving you hard earned money in the case that someone gets injured in your house and attempts to sue.

What Does Renters Insurance Not Cover?

Renter’s insurance certainly does not cover everything, and most policies do not include coverage in the case of a flood. It is especially important to get coverage for flooding if you live in an area that is considered a flood plain or a city that sees heavy rainfall and flash flooding. Often times apartment and home owners will make you as the renter aware of any tendencies of flooding.

Read The Fine Print

Always make sure to read your renter’s insurance policy over carefully. Certain insurance companies may limit the amount of coverage that they are willing to give in one certain area. For instance, some policies may only cover up to $1,000 dollars or less in electronic devices. This would mean that you would need to take out an additional policy (or policies) in order to cover these items. If you work out of your home then it is important to consider the cost of all of the equipment that you use for your job. You should consider getting a policy to cover the cost of the equipment you use for your job if this is the case.

Shop Around For Renters Insurance

Renter’s insurance works in a similar way to auto or homeowner’s insurance, meaning that it is possible to find better deals with certain companies. That being said, it is important to shop around in order to get the best coverage at a price that fits into your budget. You may also be able to score a discount if you use the same company that covers your auto insurance.