What you need to know about Renters Insurance

You need renters insurance whether you are renting a house or an apartment. In most states renters insurance is not required by a law, but it is highly recommended that you carry it to provide coverage for your personal property. People have been under the misconception that if they are in an apartment they do not need renters insurance because it will be provided by the landlord. This is not true. The landlord’s policy will only cover the building and not your personal property.

Renters insurance can help to protect your personal property against fire, lightning, windstorm, hail, explosion, volcanic eruption, riots, aircraft damage, vandalism, vehicle damage, smoke or theft.  Renters insurance can also provide valuable protection if your home is made unlivable due to a loss. Your policy can pay for another place to live while your home is being repaired.

Renters insurance is a very inexpensive policy compared to what you may have to pay to replace your property if a claim were to happen.Most renters policies will come with a deductible, a portion of the claim that is not paid by the insurance company, which means that your policy will pay for losses that are over the deductible that you select. You can select a high deductible which will further lower the cost of you policy.

Your renter’s policy can also provide medical payment to others for necessary medical expenses incurred or medically ascertained within 3 years from the date of accident or injury. This coverage does not apply to the insured or regular residents of the household and is $1000, but additional limits can be purchased.

This type of policy can also help to protect you in case of a lawsuit due to a liability claim caused by a bodily injury to another person or damage to someone’s property.This coverage also covers the cost of defending you in any suit for damages and also pays for the cost of the defense in addition to your liability limit.  Limits start at $100000, but higher limits are available. People think the apartment complex will cover you, but their policy only protects the apartment owners.

 Most policies will also provide up to $500 for damage to the property of others subject to your deductible. A lot of apartment complexes are requiring renters insurance because they are worried that a fire in your apartment may cause damage to other units.