Renters insurance is a necessary evil, whether you are required to have renters insurance or you are being proactive this type of insurance can be tricky to navigate. Below you will find out something things about renters insurance that people don’t tend to know right off the bat. While there are many factors that go into choosing the right renters insurance for your personal needs don’t blindly make a choice or you may end up out of pocket on items you thought would be covered in the case of an accident or emergency.
1. Renters Insurance does NOT cover the physical structure of the apartment you are renting.
No, renters insurance does not cover your physical apartment. This type of insurance is meant to protect you the renter and your personal property. Having this type of insurance is meant to help you replace the replacement of your personal property without having to come completely out of pocket.
2. Your Landlords insurance does not protect you the renter or your property just the landlord’s personal property, which is the structure itself.
With all insurance plans, there are coverage limits, this means that your landlord has insurance to help with the cost of fixing damaged or stolen appliances as well as damage done structurally due to unnatural causes.
3. One size insurance does NOT fit all.
There are many different coverage options, which is often the case with insurance. The best way to determine what insurance is right for you is to evaluate your personal property and then pick our plan. All insurance companies have coverage limits which specifies what the total policy payout will be. This means that most times there are limits on big-ticket items some examples being; musical equipment, jewelry, collectibles, electronics, gift cards, and checks. Often your insurance will require a deductible to be paid before they will pay out on anything, this is the amount of money that has to come out of pocket before your policy will take into effect.
Replacement cost policies – this type of policy may be best for the renter who has lots of high ticket items. This will help you replace your items for their current value.
4. Keep track of your personal property before it’s too late.
In this date in age keeping an inventory of your personal property is easier than ever. From apps to websites there are many options that will help you evaluate and organize the information on your personal property that is more efficient than a simple excel spreadsheet. It is important to have an inventory and record of your personal property, take pictures of your possessions, keep track and copies of receipts as well as a serial number so there’s no question of ownership. Your insurance company will ask for an inventory report in the case of a claim. Make sure you have accurate values and plenty of documentation to help you be able to move forward with your claim.
5. Renters insurance can cover more than just your personal property.
Something to look at when you are choosing a renters policy is additional coverages. Some plans will cover meals and shelter in the case of a “Peril” which in layman terms means when you are unable to stay at your rental property due to safety reasons. There are two types of coverages when it comes to perils, the first is an “All Risk” plan which covers any peril that isn’t listed as an exclusion. The other type is a “Named Peril” Plan which will tell you exactly which events they will give shelter and meal coverage for.
While these just brush the surface of understanding renters insurance, the more you know the better you are able to choose which coverage is best for you and your family. Call today to learn more about our coverage options and let a member of our live team help you protect yourself and your personal investments.