Renters insurance is similar to homeowners insurance, except it does not include coverage for the dwelling. This type of insurance provides protection for an individual or family’s personal property against fire, theft, vandalism and other threats. A property owner is liable for insuring the building, but is not responsible for a tenant’s belongings.
Renters insurance is important for those who rent apartments, houses or condos. If your personal property is damaged or stolen, or you could face major financial setback without the proper coverage. If someone is injured while in your home, you could be held liable. Renters insurance is an important protection to have in place when unexpected circumstances arise. In lease agreements, renters insurance is often a requirement for tenants.
It is important to accurately access the value of your personal property. You may be left with a shortage in coverage if you underestimate the value of your possessions. When acquiring renters insurance, it is important to work with a qualified insurance agent to determine the correct amount of coverage so that you will be appropriately reimbursed in the case of an accident.
Renters insurance policies include two options for coverage: replacement cost and actual cash value (ACV) of belongings. ACV policies are more expensive than replacement cost policies because replacement cost adjusts the value of items to their depreciated worth. However an ACV policy isworth the additional cost if a situation arises that results in a claim.
The loss of important items while travelling can also be covered by renters insurance. Lost luggage can ruin a trip and airlines will usually only cover a portion of the value of your lost property. Renters insurance can be very valuable, covering the balance of the cost of replacing the lost items.
Depending on the coverage selected, renters insurance is less expensive than homeowners insurance and should be affordable on just about any budget. Multi-line discounts are available from most companies, making coverage more affordable by bundling it with another policy, such as auto insurance.
McGovern Insurance has a team of insurance experts that can help you with your renters insurance policy. Please call us at (650) 593-8216 or complete the form on this page to get your personalized quote.