Renter’s insurance or Tenant’s insurance is a policy that covers losses and liability caused by theft, fire, smoke, water damage, vandalism etc. for those who are renting an apartment, condo, or house.
All too often, people renting or leasing their apartment erroneously believe the landlord’s home insurance covers damages or accidents.
Renters typically bring in their own possessions which may include their vehicle, TV, clothing, laptop, sports equipment, etc. Renters insurance covers the cost of replacing or repairing the insured’s belongings, and it covers accident liability. Homeowners insurance typically covers the house and its contents including the homeowner’s furniture and appliances.
Your legal responsibility for the home or apartment’s content will be stipulated in your rental agreement. If something happens to the homeowner’s possessions, they may not be required to claim the loss under their policy. They may instead expect your insurance company to cover the loss. You need to know exactly what they have coverage for.
Renter’s insurance provides two types of coverage: liability and contents.
Liability is protection against law suits for injury and damage. The perils it typically covers are slips and falls of visitors.
Contents coverage protects the policyholder for the costs of repair or replacement of items in the home. This provides protection related to theft, falling objects, fire, smoke, water, glass breakage, and vandalism. Items covered are TVs, laptops, cell phones, jewelry, bicycles, musical instruments, books, and more.
Renter’s insurance may not cover specific damages to the house, condo or apartment building itself, unless it is specified in the policy.
Typical tenant or renter’s insurance policies offer coverage ranging from $20,000 to $100,000. The typical deductible is about $200. Liability coverage is the key, and you may want to choose $500,000 or $1 million, but you can get $2 million or more if necessary.
Premiums can range from $200 or more per year.
When you’re considering a policy, you should list all of your possessions and product details. Keeping your purchase receipts is a good idea. You should also take pictures or a video of all your items.
Each insurance company will offer its own selection of coverage. Insurance benefits and premiums will vary among them.
If you have any questions about renters insurance, please send us an email or call us at 1 888 471 3868.
Theft remains a major problem for renters and homeowners. Especially high on the list are consumer electronics products.