Renters insurance protects your stuff
Renters insurance will compensate you if your belongings are damaged or stolen.
Landlord's insurance may not apply
While your landlord may have insurance, it typically does not cover the renter’s personal property.
The basics
A renters insurance policy is a contract between you and an insurance company that financially protects your personal property in a rental unit. In the event your belongings are damaged or stolen, the insurance company guarantees they will pay to replace them so long as you make your monthly payments. There is a limit to how much they will cover, known as the policy value, that you and the insurer decide upon when the policy is created.
Important points
- With renters insurance, you pay the insurance company a small monthly payment called a premium. Renters insurance premiums can be as low as $5 a month.
- If your personal belongings, such as electronics and furniture, are damaged or stolen, renters insurance will cover their replacement costs up to the predetermined policy amount.
- Some insurers require documentation, such as photographs of your items, before and after the accident.
- Your landlord may require you to purchase renters insurance.
Why should I get it?
- If your belongings, such as a TV set or furniture, get damaged or stolen, it may take thousands of dollars to replace them. This can be a substantial burden on your finances.
- With a monthly premium that typically costs less than a dollar a day, renters insurance can be an economical way to protect against these losses.
How much coverage should I get?
- Your policy should cover the total estimated value of your belongings.
- Some more expensive items, such as art, a wedding ring or other jewelry, may require a separate policy.
What’s typically covered?
- Damage from weather-related events, such as lightning, hail, or the wind.
- Damage from fire and equipment-related accidents.
- Damage or loss from theft and vandalism.
- Liability for injuries on your property.
Note: Most policies will not cover damages resulting from large-scale events such as earthquakes, floods, or landslides. They will also not cover any intentional damage. Check your policy for coverage details.
What else should I know?
- If you purchase an expensive item after taking out the policy, be sure to check if you still have enough coverage to insure all of your belongings. You may want to increase your policy amount to cover the new items.
- If you move to a new apartment within the same state, your policy is usually not affected. Still, you should contact your insurer to inform them of your new address and ask about any policy adjustments.
Disclosures:
Albert Insurance Services, LLC provides insurance services on Albert's app. Click here for terms.
