Renters insurance is something that not all renters think about or consider when renting, but definitely should. Let’s discuss its many benefits, who it’s for, how it works, the different types of coverage that exist, and the major benefits which it provides.
This type of insurance is for anyone who rents a home or apartment and wants protection against wrongdoings to them or by them in nearly any range of categories. Typically this is coverage for personal belongings like clothes, electronics, and furniture up to the dollar amount of the policy which you are covered. For example, if the apartment unit which you are renting got flooded or caught fire, your things would be covered up to your policy limit. It’s only limited to personal belongings, though. This insurance also protects against liability. If you accidentally cause damage to someone else’s things or are responsible for injuring someone else, then you are covered up to your policy limit with this insurance. It also covers additional living expenses like hotel bills which you take on if your rented apartment or home becomes damaged to the point of being uninhabitable.
According to the Independent Insurance Agents and Brokers of America, $12 per month is the average cost for a typical policy for an astounding $100,000 worth of liability coverage and $30,000 worth of property coverage. Some landlords require this as part of their lease agreement to tenants because it can save everyone from litigation and disputes during an accident. If the total value of all of your belongings is under $2,000 than it is typically not necessary to buy renter’s insurance. For everyone else, coverage can start at less than $1 per day and is something which gives increased peace of mind against a potential future unforseen incident.