What is renters’ insurance, and do you really need it? This is an essential question that a lot of people don’t have the answers to. With how uncertain life has been in recent times, renters’ insurance can come in handy when you’re in a bit of a fix. So, what does renters’ insurance really cover, and is this an ideal option for you? Let’s start at the top.
What Renters’ Insurance Covers
Just like any other insurance scheme, renters’ insurance covers specific scenarios that will help you find your feet faster than if you didn’t have any help at all. This affordable option can come in handy in these situations:
If you were caught in the middle of a wind storm, rain, fire, or hail that damaged your properties, and left you close to penniless, renters’ insurance offers a basic insurance cover that will take care of these events. In most renters’ insurance covers, you would have to pay extra to get protection from earthquakes and floods. You will have to consider this if you live in an area prone to this form of a natural disaster. The good thing is that this insurance cover is great for getting you adequate lodging while you search for a new place to live. Many people erroneously think that the landlord is responsible for this, even getting you a hotel room while your apartment is unlivable. This is completely untrue. However, with the right renters’ insurance, this will cover your stay in another facility until you have found a suitable place to live.
It goes without saying that your apartment would contain tons of valuables such as your furniture, laptop, phone, clothes, and television. Even if you don’t have as much as this, a renters’ insurance cover becomes useful when you need to replace something as simple as your phone that got caught up in any disaster through no fault of yours. With just a few dollars monthly, any of these valuables can be replaced easily. Even better, you could get liability insurance that also covers the legal or medical bills of any guest in your apartment that gets injured. It goes beyond physical properties. Liability insurance could also be useful when a guest gets bitten by your dog while living in your home. Although some renters’ insurance doesn’t cover dogs such as Rottweilers and Pitbull on their blacklist. With your personal liability coverage, you have adequate cover for surgery, emergency room, x-rays, wages lost while undergoing medical treatment, hospital stay, and dental needs.
Valuables in Another Location
It’s quite interesting to know that even your valuables that are nowhere near your apartment can still be covered by renters’ insurance. A few of these policies cover items in off-site storage and those outside your home. A notable one is misplacing your laptop while on vacation or your phone getting damaged when it falls out of your backpack. Quite a lot of companies will have it replaced if you have sufficient renters’ insurance for this. Basic insurance will also cover stolen items, while you would have to pay a little extra for jewelry and art coverage.
However, you should note that renters’ insurance will not cover damages done by your pet, accidentally losing your property, or replacements for your roommate’s valuables. Your roommates would have to get their policy to qualify for any renters’ insurance. It’s almost difficult to believe that you could get protection in all these situations without paying through the nose for it. Most renters’ insurance covers are really cheap, going as low as 10 dollars monthly for basic coverage. For example, you can get a renters’ insurance offer for as low as $5 monthly, while this could increase depending on your location and what you need covered.
For instance, Lemonade Insurance is one of the companies that offer renters’ insurance. This company also has homeowners’ insurance offers, and these are all available in a peer-to-peer format. This method involves pooling resources together with a group of people, and then insurance premiums are paid into a central collection pot. The company takes out the fixed fee from this and uses the rest for paying out claims. Plans start from as little as $5.
Now, it’s time for the most important question here. Is renters’ insurance for you? If you desire that extra peace of mind that comes with knowing that you wouldn’t be left stranded when something beyond your control happens, then this insurance cover is definitely for you.