Do you live in a rental? If so, consider obtaining a renters insurance policy. If your apartment is burglarized or a fire occurs, your landlord isn’t responsible for your belongings. You’re responsible for replacing your belongings. A policy for renters helps foot the bill.
Renters Need Coverage
Most rental units have insurance coverage, but only for damages to the building. Some renters are unaware of this. They assume the landlord is responsible for their belongings. But your electronics, clothes, and furniture are your responsibility.
A typical policy covers damage from fire, theft, and vandalism. Coverage also includes liability. If someone is hurt in your rental, then you’re possibly liable for their medical bills. And if you cause damage to someone’s property, the courts can find you liable for that too. Help from an insurer relieves the financial strain.
How the Policy Works
You can file a claim for any incident that’s covered by the policy. So before filing a claim, make sure the incident for which you’re filing is allowed. The policy pays the actual cash value or the replacement cost for your belongings. Actual cash value is when the insurer pays the original amount of the item. And replacement cost pays the current value of the item.
Personal property coverage pays to replace or repair your belongings. There’s a limit on the amount the insurer will pay, so get a big enough policy to meet your needs. The same is true for liability coverage. The insurer will pay if you’re legally liable for harming someone or their property. But the insurer will not pay anything that exceeds your liability limit. Additional living expenses coverage is sometimes an option. This coverage will pay some of your living expenses should your rental become temporarily uninhabitable.
Landlord insurance doesn’t protect your belongings. It also doesn’t pay for issues concerning liability. But with renters insurance, you have the benefit of having your belongings covered. You also have the benefit of receiving assistance should a liability issue arise.