Renters Insurance

Renter’s Insurance Online

Renter’s insurance insures a renter’s personal property against contingencies like damage or theft. Also, renter’s insurance provides alternative housing if a rental property becomes uninhabitable. If a renter damages a landlord’s property, then renter’s insurance will help to pay for the damage. All of these benefits make renter’s insurance a valuable resource. Policies are also quite inexpensive, especially when compared to homeowner’s insurance.

Renters should start by deciding how much their possessions are worth. Rather than insuring individual possessions, most insurance companies insure all possessions for one lump sum. After determining the value of their property, renters should find out if their policy offers replacement value or actual cash value for lost items. If an iPod is stolen from an apartment, for instance, replacement value would provide renters with enough money to purchase a new iPod. Actual cash value would only offer the current value of the iPod, which may be very low if a new version has come onto the market.

To save money, renters should make their deductibles as high as they can afford. Coverages subject to the higher deductible would include everything except liability charges. MarketWatch estimated that as many as two-thirds of the 81 million renters in the United States do not carry renter’s insurance. This means that renters are covered neither for their possessions nor for their liability for property damage. Considering how little a renter’s insurance policy costs, more renters should take advantage of this valuable protective coverage.