If you’re a renter, at some point, you’ve likely thought if there’s a way to protect your valuables and belongings. The good news, there is insurance for that, it’s called renters insurance. Even better, renters insurance policies are affordable.
So, what is renters insurance?
Renters insurance is a number of different policies that are designed to help you protect you and your belongings. A typical renters insurance policy will include liability coverage, protection for your belongings and coverage for additional living expenses if a home that you’re renting would ever become temporarily uninhabitable.
While it’s impossible to prevent every scenario, such as someone hurting themselves on your property or someone stealing a valuable belonging, a rental policy called “tenant insurance,” may be able to help you minimize the impact, no matter if you’re renting an apartment or a single-family home.
What Does Rental Insurance Cover?
Now, you may wondering, “what does rental insurance actually cover?” Well, it all depends, let’s get to it.
- Personal Property – A personal property policy may be able to help you cover the cost of repairing or replacing your belongings. This may include electronics, furniture and clothing. Limits do apply.
- Liability – A liability policy may cover your repairs if you accidentally damage someone’s property. It may also cover someone’s medical bills if you’re found responsible for their injuries.
- Additional Living Expenses – This coverage may cover your cost if a home you rent is damaged or left uninhabitable.
Personal Property Coverage
Stop for a second and think about everything you own. For those of you that are 30, 40, or older, you likely have acquired a lot of personal assets. Personal property coverage is a type of renters insurance that may cover the cost or replace your personal belongings.
This type of coverage applies to specific risk, also called perils, like theft or fire. For example, if your computer is stolen or your furniture is lost due to a fire, this type of protection may be able to help you replace those items.
It’s is important to note that coverage limits do exist, meaning that your renters insurance coverage will only cover up to the limits of your policy. If you have a $1,000 limit, your insurance would pay up to that amount.
When purchasing a renters insurance policy, you may face a few different choices. For instance:
- As we just talked about limits, you’ll need to figure out what limits are appropriate to your situation. You’ll want to make an inventory list of all your belongings and what you paid for those. Keeping your receipts would be smart. This will give you a general idea of how much personal property coverage to get.
- You may also have to decide the exact personal property coverage you want to buy. For example, a policy that provides actual cash value protection typically covers belongings up to their current market value. On the other hand, a policy that includes replacement cost coverage may help you pay to replace your items at today’s retail prices after losses are covered.
Liability coverage is another protection typically offered in a renters insurance policy. This coverage may be able to help you from paying out of pocket cost if you’re ever found legally responsible for injuries to other people or property damage..
While you may not expect it, things happen, things will happen out of your control. IF you’re not protected, you may find yourself in a tough situation. For example, let’s say someone gets seriously injured on your property. This could cost you tens of thousands of dollars if you’re not covered. Can you really afford not to have it?
Again, as with renters insurance coverage types, you’re going to have specific limits you’ll need to think about. At the very least, you want to make sure it’s adequate coverage for your needs.
Additional Living Expenses
The 3rd type of renters insurance coverage we’re talking about today is additional living expenses. Now, if you’re renting an apartment or home, you usually have a place to call home until your lease expires. However, what would happen if you rent a property that is damaged by a fire? What is that home or apartment is damaged so bad, you can’t live in it, what would that mean? This is where renters insurance may help.
Renters insurance can include coverage for additional living expenses. This coverage may help pay for additional costs you incur if an accident like above happens, such as hotel bills, or for the increased costs you incur on food that are above the amount you would typically spend, because you are unable to live in the home or apartment you’re renting.
To learn more about these renters insurance policies or to get a renters insurance quote, be sure to give us a call at 1-303-623-1997. we can help you find the right Colorado renters insurance. We can help you compare multiple quotes at once so you can find the right coverage at the right price.