Is Renter’s Insurance worth the Investment?

You may not be ready to move into a house, but that does not mean you should do without financial protection for yourself, other household members, your guests and your personal property. While many people believe renters’ insurance is an unnecessary expense, it may be a wise investment to protect your personal belongings in case of an accident or other unfortunate event in your rented home. Whether you’re moving into a new apartment or home, or you’re well established, it’s best to know about what renters’ insurance can do for you.

What is renters’ insurance?

Typically the actual residence is protected by your landlord, but that does not take into account your personal property or expenses incurred as a result of an accident in your rented home. That’s where renters’ insurance kicks in. Much like homeowners’ insurance, renters’ insurance serves to protect a tenant’s personal property from fire, theft and vandalism. Rather than insuring the dwelling, renter’s insurance provides liability coverage and peace of mind for one’s belongings and household investments. Only 39% of renters have in renters’ insurance, though the financial protection may be well worth the investment.

What are types of renters’ insurance coverage?

When shopping for insurance, you’ll run into a variety of policies. It’s best to be familiar with the types of protection your insurance policy can provide. Depending on the company and package you purchase, the policy could provide coverage like: • Personal liability – If someone files a lawsuit against you for any injuries suffered in your apartment, this type of coverage will take care of legal costs.

  • Personal property – On average, renters own between $20,000 and $30,000 in personal property. This type of coverage will kick in to replace your belongings in case of a fire or burglary.
  • Property damage to others – Renters’ insurance follows you outside your rented property. This coverage will help you replace any accidental damage you may have caused to someone else’s property.
  • Medical payments – A designated amount of medical expenses under this coverage are covered for guests who are injured on your property.
  • Additional living expenses – In the case of a covered incident in your rental property that leaves it unfit for use, this coverage will cover relocation expenses up to a certain limit.

What does renters’ insurance cover?

Most renters’ insurance policies will offer at least financial coverage for personal property and for additional living expenses. In case of an emergency, it’s wise to have a rough list of major items in your household or to estimate the true value of your personal possessions. Keep it somewhere safe; it’ll safe you time and stress when you have to file your claim after an incident. The goal is to replace your lost items with financial compensation. Most insurance policies place caps on more expensive personal items, so renters have the option of purchasing additional coverage. These items include electronics, firearms and jewelry. If your renters’ insurance covers “Loss of Use”, meaning your living expenses are covered if you are displaced from your home, hotel bills or temporary rent will be taken care of up to a certain amount.

Get In Touch Today

Santa Anna Apartment Homes strive to offer new and existing tenants relevant information on renting and apartment living. Whether you’re a new or long term renter, we aim to make the best of your apartment life. Call our office at 956.678.4444 to learn more about our policies, amenities and apartment availability.

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