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Protect where you live with renters insurance

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Living in a rental property? Get a policy for the things that matter most.

Renters insurance, also known as tenants insurance, protects your belongings when you are renting a property. Personal belongings including furniture, appliances, clothing and electronics are normally included in the policy.

At the most basic end of the spectrum, you can insure your belongings for fire or theft. However, if you’re willing to pay more in premiums, you can get more comprehensive coverage.

If you want to learn more about the different types of renters insurance, what it covers, how much it costs and how it can help protect your personal property — you’ve come to the right place.

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    Find a renters insurance policy to protect your belongings

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    Liberty Mutual Renters Insurance
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    Allstate Renters Insurance
    Allstate Renters Insurance
    Allstate Renters Insurance can help you protect that stuff if something bad happens to it or your rental.
    • Coverage Minimums: Varies by state
    • Deductible: Variable
    • Discounts: Multi-policy, safe home, easy pay plan, 55 and retired, claims-free
    Go to site More info
    Lemonade renters insurance
    Lemonade renters insurance
    Lemonade's amazing coverage protects the stuff you own at home and everywhere else.
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    What types of insurance are there?

    Renters insurance can be divided into two main categories:

    • Fire and theft. This low-cost insurance covers your belongings from fire and theft, which are the two most common types of damage that renters face.
    • Comprehensive. This type of coverage gives you protection for a wider variety of hazards and includes options for liability insurance. It protects your belongings from other risks in addition to fire and theft. Liability helps you pay any legal and or medical fees that may come up if other parties are injured on the property.

    Why do I need renters insurance?

    You may not own your home, but your possessions still hold value and it’s important to protect them.

    Keep in mind the following:

    • You are not covered by your landlord’s insurance. Many renters assume that a landlord’s insurance will cover the renter’s contents — this is unfortunately not the case.
    • Your assets may be worth more than you think. If your home is gutted by a fire and you have to replace everything you own, it could cost tens of thousands of dollars to replace your possessions.
    • You can get insurance if you live in a shared house. Purchasing a policy for the contents of shared house might prove incredibly valuable if you’re a student who depends on an expensive computer.
    • You might benefit from liability coverage. If someone injures themselves in your home you could be liable for hefty medical and legal fees. Liability coverage might help you cover the costs.

    What affects the cost of renters insurance?

    The cost of your insurance premium will be calculated on the basis of several factors:

    • The location of your home. Premiums are normally higher if you live in an area prone to tornadoes and earthquakes or in a neighborhood with a high crime rate.
    • Your home security. Deadbolts, window locks, cameras and alarms all help to make your insurance cheaper.
    • Your level of coverage. Naturally, the more optional extras you select, the more your premiums will increase. If you want coverage that will replace lost items with new ones, it will be more expensive than covering the replacement value, which depreciates over time.
    • The value of your possessions. Someone who owns many expensive possessions will likely have a higher premium in order to cover the value of their property.

    What does my policy actually cover?

    Your options vary greatly from one policy to another depending on which provider you choose. Check which policy offers the best value for the items that you’d be most worried about replacing in the event of damage or theft.

    Make sure you read your policy’s terms and conditions carefully so you know exactly what you’re covered for.

    CoverageWhat it typically includes
    TheftObjects lost or damaged due to theft during a robbery.
    FireCovers fire damage to belongings — not cigarette burns or scorch marks.
    StormDamage to possessions caused by wind, hail and other storm effects.
    ImpactPossessions damaged from direct impacts such as meteors, falling airplane parts or objects thrown from cars.
    Malicious damageVandalism and deliberate property damage caused by someone who does not live at the address.
    Water damagePossessions damaged by most types of leaks, not floods.
    SmokePossessions that are damaged by smoke, but not burnt in a house fire.
    Accidental damageAccidental damage caused by you to the landlord’s building and or your contents.
    Possessions outside the homeIncludes options to protect possessions stored outside on your property.
    Short circuitsElectric motor burnout of appliances in some circumstances. Generally excludes certain types of power surges such as those caused by lightning strikes.
    Spoiled foodFood stored in a freezer or refrigerator is covered in the event of a power or mechanical malfunction.
    Temporary accommodationThe cost of temporary accommodation if you’re unable to live at the property.
    LiabilityLegal and medical fees incurred by a visitor injuring themselves at your address.

    What should I look for in a policy?

    You should consider three main things when deciding what coverage you need:

    • A policy that covers your risks. Choose a renters insurance policy that gives you protection for your belongings. Generally you won’t need to be covered for events such as earthquakes, impact or floods. However, if you live in a area prone to disaster, ensure you take out the extra coverage.
    • Good value. Look for a balance between reasonable premiums and sufficient protection. Then find a policy that provides coverage for the things you’re most worried about replacing, but also offers benefits such as discounted premiums based on your home’s security features.
    • The right extras. Liability, food spoilage and coverage for bicycles and other sporting goods are popular add-ons. However, you usually pay a slightly higher premium for any additions, so make sure you select the best options for your circumstances.

    What can I be covered for?

    Depending on which insurer you choose and the level of coverage you purchase, there’s an array of options:

    • Credit card theft. You may be covered up to $5,000 for stolen credit cards. Some policies even offer coverage for identity theft.
    • Appliance malfunction. If the motor of one of your big appliances dies, this may cover replacement or service costs.
    • Broken glass. When glass that is part of your furniture, such as a china cabinet, is accidentally broken, you can claim the cost of repair.
    • Liability insurance. Assistance with legal and medical costs if anyone is accidentally injured in your home.
    • Outdoor items. Garden furniture and other belongings kept outside at your address can be insured.
    • Perishable food. Allows you to claim the cost of food that is spoiled as a result of a blackout or due to your fridge or freezer breaking down.
    • Portable belongings. Protection for items that you take with you when you leave your home, such as a smartphone or luggage.
    • Temporary accommodation. If a house fire or other insured event prevents you from being able to live in your home, you can claim the cost of alternative accommodation.
    • Moving expenses. Your belongings can be covered during the process of moving to a new address.
    • Peet insurance. If your dog or cat is injured in an accident, you can claim for part of the treatment.

    Three traps to avoid

    There are several renters insurance pitfalls to be aware of:

    • Incomplete coverage

    While basic fire and theft insurance can be cost-effective, it doesn’t offer complete coverage for common risks. Extras such as temporary accommodation, flood insurance and liability coverage are extras that available for an added price. Always make sure you’re getting insurance for what you need.

    • Overpaying

    If you have comprehensive renters insurance but really only need fire and theft, you can get better value from a basic fire and theft policy. Premiums usually increase over time, so it’s a good idea to compare policies regularly if you think your premiums are too high.

    • Not updating your policy

    Always inform your insurance company when your living circumstances change. So when you’re taking out a policy, be aware of what protection you may need in the future. For example, updating your policy before you move houses could help protect items damaged in transit.

    How does renters insurance work?

    The first step is to work out what items you want insured. Next, think about whether you’ll need liability coverage and what optional extras you would benefit from.

    Once you have purchased your policy, make a detailed inventory of all your assets. Keep a record of serial numbers, scan your receipts, take photos, and file any valuations you have.

    If you need to make a claim, contact your insurer with details of your policy, as well as a list of items that have been damaged, destroyed or stolen. Your inventory will be a crucial way of verifying your losses.

    Is renters insurance worth taking out?

    Considering the expense of potentially replacing everything you own after a house fire, and the fact you can purchase a basic policy for less than $10 per week — renters insurance is definitely worth considering.

    What are the key differences between renters and landlords insurance?

    Even though both policies cover events such as fire, theft and water damage, renters insurance includes options that are tailored specifically to renters’ needs, as well as liability insurance.

    Renters insuranceLandlords insurance
    Covers personal contents in a building.Covers the building structure itself.
    Coverage for temporary accommodation if an insured event makes your residence impossible to live in.Protection for loss of rental income.
    Coverage for extra living expenses while your home is being repaired.Covers you for additional costs related to rebuilding or repairing a home after an insured event, including debris removal and architect fees.
    Protection for accidental damage to ceramic fixtures such as basins and baths.Coverage for deliberate or malicious damage caused by tenants.
    Protection for portable items that are often taken outside, such as jewelry or electronics.Protection for the cost of repairs to the home or for fixtures that are permanently attached to it (such as carpets or light fittings).

    Does renters insurance cover me for damage caused by my pets?

    Even if your landlord allows you to keep pets, renters insurance doesn’t normally cover you for damage caused by animals kept at your property. Depending on the insurer and the policy you choose, you may still be insured for specific animal-related situations, such as:

    • Damage caused by wild animals. You can be insured for damage to your belongings that is caused by an animal that makes its way into your home uninvited. This usually excludes insects, rodents and vermin.
    • Liability for animal attack. If your renters insurance includes liability coverage, conditions do apply, but generally you’re insured for medical costs arising from someone at your home being injured by your pet. Injuries caused by dog breeds that are listed as dangerous or restricted are not covered.

    Some other questions you may have about insurance for rental homes

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