Insurance is something we all carry “in case of”. For example, in case of an accident, drivers car insurance, incase of damage homeowners carry homeowners insurance, and in case of disaster, theft or neglect all renters should keep rental insurance; for four major reasons. In fact, renters insurance is not an expensive proposition and helps renters across the nation save money, time and heartache for a variety of unforeseen events. The expense is well worth the hedge of protection and coverage these policies provide.
1. Damage to the building.
In any lease, a landlord assumes responsibility for routine maintenance and repair to a building, condo or home. However, in the event of leaking pipes, flooding, electrical wiring damage or any number of things can go wrong and break in any facility; the landlord has no personal liability to replace or repair personal items.
In most cases, the landlord will help the renter relocate or provide temporary quarters. However, this is relegated to the terms of the lease. When it comes to personal items damaged due to faulty equipment or damaged items the renter has to replace these his own dime. Renter’s insurance, however, protects the renter’s personal items, compensating any loss to make the renter “whole” again; in other words, replacing and repairing all personal items under the policy.
2.Theft or break in.
All around the nation, renters and homeowners alike find themselves in uncomfortable circumstances after a break in and theft. Rental insurance also covers loss due to theft on behalf renters. In addition, if a vehicle is broken into and personal items taken, rental insurance covers the renter’s loss to the car; compensating for loss of items such as CDs, stereo systems and any personal electronics left in the car. Vehicle insurance alone only protect physical damage to the car, and will not compensate for loss of personal items.
3. Natural disasters.
Fire, flooding, hurricanes and tornados are all considered natural disasters. In these cases, the landlord holds no responsibility to the tenant. Similarly to the first example, the landlord does have a fiduciary duty to assist the resident with temporary shelter, but his liability begins and ends there. On the other hand, renters insurance pays the tenant to obtain a temporary dwelling and compensates him for loss of personal items, going beyond the requirements of the landlord in a traumatic situation.
4. Personal liability.
Whether accidental or negligence, property damage happens and it can come with a hefty bill from a landlord to a tenant without renter’s insurance. Holding renter’s insurance in the event of damage caused to a property is essential when it comes to tenant and landlord disputes over damage to the property.