Many people who rent an apartment or home wonder if they need renters insurance. Most landlords have some form of insurance on the property; however, it is not sufficient to cover your valuable possessions. Therefore, it is a very good idea to get renters insurance.
What is Renters Insurance?
Renters insurance is an inexpensive insurance policy for people who rent property that will cover the loss of personal property after certain disasters. It can also cover medical and legal expenses if needed.
How does Renters Insurance Work?
Renters insurance is intended to protect renters from loss of personal property. If your property is lost because of a fire, or if someone breaks in and steals your property, renters insurance will reimburse you for your loss.
The basic items that normally are covered include furniture, electronic equipment, appliances and clothing. There are also other things that can be covered under renters insurance. Renters insurance can also pay expenses if someone is injured or hurt while on your property.
Renters insurance only cost about $15 to $30 per month and covers up to $30,000 in property losses and up to $100,000 in liability claims.
What does Renters Insurance Cover?
Many people are confused about renters insurance because they are not exactly sure what it covers. There are a couple of different types of renters insurance available. You can purchase basic coverage, and your personal belongings will be covered in case of theft or vandalism. Your possessions will also be covered if there is a fire or certain other natural disasters.
In addition, if you cannot live in your home because it was damaged, renters insurance will cover your expenses while you are living elsewhere.
Another type of coverage is liability coverage. This will cover you in case someone gets hurt while on your property. If someone is injured while on your premises, you could be held financially responsible. You could be required to pay for medical bills, not to mention legal fees. Renters insurance will cover both the hospital bills and legal fees if you are sued.
You need to read the terms and conditions of your policy, as some policies require a separate policy to cover flood and earthquake damage.
Having renters insurance can give you peace of mind in knowing that your possessions will be taking care of if something should happen. It does not cost very much, so it is smart to have.
