Why Saying “YES” to Renters Insurance is a Good Choice
We know that car insurance is necessary when you own a vehicle. If there is an accident your insurance company works with you to fix or get a replacement. Have you thought about what would happen if there was a fire, flood, or burglary in your rented home? If you do not have renters insurance, you will need to replace items in your home that were destroyed or stolen. And, even though you will hopefully never have to use a renters insurance policy because you’ve had a theft, fire or flood, it is a wise and inexpensive investment. Renters insurance does not just cover your rental, it also covers your belongings! You shouldn’t necessarily rely on your landlord insurance. You should have your own renter insurance policy to make sure your personal things are covered in case of loss. Purchase your own renter insurance policy.
What Does Renters Insurance Cover?
Renters insurance covers your personal property in your home. If something happens such as a break in where some of your personal property has been stolen or damaged, your policy should cover the costs that. Also, you can also have a renters insurance policy that would also cover damage caused by fire, natural disaster, and also vandalism.
You may think that because you live in a safe neighborhood that you may not need renters insurance. But, you never know what could happen! Having renters insurance not only can cover your belongings, it can also include liability coverage, which covers the cost of care, as well as any legal costs that may occur regarding an incident.
Considerations for Purchasing a Renters Insurance Policy
On average, the cost of renters insurance is under $200 a year. It may seem too good to be true, because the cost of replacement or repair of your belongings that may become damaged or stolen far outweighs the cost of your policy. But, as with your car insurance, paying a little each month is quite helpful should anything happen to you, your belongings, or anyone in your home who may become injured. Here are some considerations when choosing a renter insurance policy to fit your needs.
What is the value of my personal things?
If you had to replace all your belongings, how much do you think it would cost you? Would you have enough money to re-purchase everything and fix anything that was damaged from say a break in? In estimation an average renter has around $30,000 worth of belongings. If you have a renters insurance policy all this can be covered and replaced much easier. You personally may have more or less than $30,000 worth of personal belongings. Taking an inventory of all your things is an essential consideration when selecting your renters insurance policy.
How can I lower my renters insurance premium?
Most renters insurance policies are under $20 per month. There are several factors that can determine what you pay. The area you live in can raise or lower premiums depending on the level of crime present in your area. Also, the value of your items will have an impact on your premium. Also, if your front door has a deadbolt, if you have fire extinguishers and working smoke detectors in your home, it can also help bring down your premium. Raising your deductible can also save you money, but this will most likely have you paying more out of pocket in the event anything happens to your belongings.
Summary:
While purchasing renters insurance may not have crossed your mind, we hope this sheds some light on why it may be good for you to have. Replacing your personal items will be expensive should a burglary, fire, or flood happen. The cost of your renters insurance policy pales in comparison to what it would cost for you to re-purchase all or even some of your personal belongings. Take a look around your home. Can you afford to replace your items should something happen to them? What if a friend comes over and gets injured while on the property? These scenarios could be covered by a renters insurance policy. For a low cost each month, you could sleep well knowing that you and your belongings are covered.
