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DEC
05
2018

Is Renters Insurance Necessary?

water-leaks-at-apartmentRenters Insurance Is Optional But Smart

When you buy a home, you get homeowners insurance. It’s a necessary part of the deal. If you rent an apartment or home, you don’t have to get insurance, but you might regret it if you don’t. While renters insurance isn’t absolutely necessary, it is still a good way to protect your property and your interests.

Why You Should Look Into Renters Insurance

Most apartments or homes for rent will have landlords that carry insurance, but those policies usually only cover the dwelling itself. That means everything inside that you claim as your own is vulnerable if anything ever happens to the property. In order to protect your belongings in case of fire, theft, or anything else, you will want to have renters insurance. You might also consider liability insurance to cover damages that might be done due to your own negligence. If, for example, you let the bathtub run way too long and it overflows into the apartment below yours, insurance would cover the costs to fix those damages.

What Policies Cover

Standard renters insurance policies will cover your belongings if anything happens to them like fire, water damage, theft, or even vandalism. If those events are out of your control and your property is ruined or damaged, insurance will have your back. Most policies, however, do not cover damage that is caused by flood waters, earthquakes, and other such natural disasters. If you live somewhere that has those hazards, you might want a separate policy. Every renters insurance policy will have a limit on it as well, such as $2,500 for electronics or something of that nature. If you have something more expensive that you want to cover, you might need another policy to protect those really important items. The policy can also cover your loss of use. If a tree falls onto the property and you can no longer use the house or apartment, you can get coverage for hotel stays and other expenses. And the coverage will pay for bodily injury or property damage that occurs by your negligence

Additional Coverage

After looking over the basic coverage, it’s good to know about some extras. If a visitor is injured when they visit you, the medical payment to others portion of the policy may take care of medical bills, even if their injury is their fault. And there’s a credit card and bank forgery coverage that can protect you against fraud attempts, like if a thief breaks in and steals your credit card and then tries to charge things on their own. Those portions of the policy can come in handy as well if you ever need to use them.

Figuring Out Renters Insurance Coverage

As is true with any insurance, there are different coverage options to consider. Look over the basic policies and go from there. It’s hard to put a price tag on everything you own, but if a fire or anything else ever happens, you’ll be glad you have the renters insurance as a backup. Contact Nickerson Insurance with your questions on policies and coverage.

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