If you are a home renter then you cannot be as assured that a landlord necessarily takes the same care of the home he rents out as the home he himself lives in. The landlord’s main priority in letting the property is probably not the maintenance, but the income it generates. Thus as a renter you could be more in need of an insurance policy than you think, as perhaps not as much upkeep has gone on.
By taking out renter’s property insurance you are protecting your belongings against accidents which may occur due to faulty wiring, or plumbing and air conditioning, which may not have had the level of maintenance that you would wish for.
Renter’s insurance provides cover against damage by negligence on the part of the landlord, as well as many other things which are beyond your control. In the unlikely event that a car drives into your property you will be covered, along with a host of other unlikely events, but remember they do happen sometimes to someone.
More usual worries though are water damage, and fire and smoke damage, and everyone should have insurance against these. A good policy will also assist if damage to your home prevents you from staying in it until repairs are carried out.
Personal liability also needs insuring against as it is not unknown for a visitor who accidentally injures themselves whilst under your roof to take action incurring legal costs. Even if they don’t go that far they could well need their medical costs covering and your renter’s insurance coverage will provide that.
Damage or theft of your belongings is naturally the first reason people think of taking out an insurance policy, and with renter’s insurance there is the additional benefit of insurance cover outside the home. When one considers the replacement costs of many of their possessions it could be very high, with such belongings as electrical items, clothes, furniture and books to consider.
Your premiums may increase a little if you wish to insure individual items such as jewelery, so check which items you own need to be listed separately on your policy. Expensive or unique items will be added as riders, that is an add on to the standard policy. However, the premiums may be lowered if you have good security in place, or additional items such as a fire alarm.
It is up to each individual to choose between the actual cost value or the replacement cost value, of possessions, when taking out a policy. It is worth taking a note of the value of your goods and how much it would cost to replace them. Replacement cost value is a more practical choice due to depreciation of the goods you own.
With renter’s insurance in place, those who rent can be assured peace of mind against personal liability, theft and damage. Not only is it a worthwhile investment to make it is an essential one, giving you a sense of security both inside and outside your home.