Recently, I drove by a duplex in my area. One side had caught on fire and the damage was pretty substantial. Not only was the building a mess but all the tenants personal property was destroyed. Smoke damaged belongings were just piled up in the yard. When you see something like this it makes you think about two things. Whether or not everyone made it out OK and how horrible to have something like that happen.
Fires happen and other natural disasters happen, all the time. If you’re living in a rental be it a duplex, apartment or a single family home, you trust that something like this won’t happen but sometimes it does. If you’re a renter you need to protect yourself and your belongings, you need renters insurance.
Renters insurance is known to be the least-utilized insurance coverage available despite the fact that it is also one of the most affordable.
Why You Need Renters Insurance
So here’s how it works – when you’re renting a place whether it’s an apartment, duplex or a single family home the owner will have property insurance. Now you may be thinking, well if they have insurance and something was to happen I would be covered? Wrong. The insurance your landlord has is just for the property itself, not your personal belongings. What isn’t covered is what’s inside like your furniture and other valuables.
Imagine waking up in the middle of the night because your smoke alarm is going off and having just enough time to get out. Doesn’t leave you with much time to grab anything. So the unthinkable happens and what are you left with? Literally your life and the clothes on your back.
How Much is Renters Insurance?
Believe it or not, the best renters insurance is more affordable than people think. The average cost of renters insurance is $185 annually. There are some variables like the amount of coverage you feel you would need and which company you go through (most companies offer it and you could most likely get a renters policy through the same company you insure your vehicle with). It’s not just the coverage of your possessions that’s important.
Many policies often come with built in liability coverage in the event someone happens to injure themselves while at your home. Also, additional living expense coverage in the event something does happen like a fire that renders your home unlivable and you have to make accommodations to stay elsewhere. Small price to pay for the peace of mind.
When calculating your renters insurance price, insurance companies take several factors into account:
- How much coverage you need
- They type of coverage you choose
- The amount of your deductible
- The location of your rented home or apartment
To Better Understand Your Renters Insurance Coverage Needs, Ask Yourself:
- How much are my belongings worth?
- Could I afford to buy it all back again if it were destroyed in a fire or stolen?
- What would I do in the event of a liability lawsuit against me?
Remember, if you have ever asked yourself “Do I need renters insurance?” the answer is probably yes. Now that you know the benefits, go out and protect yourself.