The first thing most people think of when it comes to insurance is car and homeowners insurance, but not many people think of Renters insurance when they decide to rent a property. Landlords are only legally responsible for the building, so your personal property is at a real risk of theft, damage and burglary without proper coverage. According to the Insurance Information Institute, one third of households in the U.S. are rentals, but only 37% of them hold renters insurance. While renters insurance is often not required to rent a property, renters insurance is essential to protect you and your personal property from theft, vandalism, and other disasters.
What Renters insurance covers:
• Personal property
• Personal liability
• Medical payments
• Property damage to others
• Additional living expenses
What to look for:
• Dollar amount of coverage
• Actual cash value vs. Replacement cost
• Property Location and previous claims
Renters insurance is a policy that covers your personal property from damage, destruction and theft. Some of the unforeseen disasters renters insurance protects are lightning, windstorm, water damage, smoke, theft, vandalism, and other common damages. You are also protected from theft outside of your home, such as when traveling. In the event of major property damage, renters insurance can help cover the expenses of a temporary place to stay until your home is inhabitable.
If you have unusually expensive items or collections like jewelry or rare coins, you may want to add “riders” to ensure their coverage on top of the existing policy. “Riders” are additions to the policy that can provide added protection beyond what the policy will reimburse. Basically you can receive more accurate compensation for valuable items in the event of damage or theft.
With any Renters insurance policy, you can choose the actual cash value or replacement cost for items under the policy. Actual cash value will reimburse you for what the item is estimated to cost at the time of loss, but not what you originally paid for it. If you had the replacement cost coverage, you will be reimbursed for the cost of purchasing a replacement instead. Replacement cost could provide a higher reimbursement than actual cash value, so we encourage you look at both when deciding on a Renters insurance policy.
Fahs Insurance is happy to help you find the best deal and discount for renters insurance to help protect your property. Together we can keep you and your belongings safe and help you prepare for anything.