Renters’ Insurance, Who Needs It?
If you rent your home chances are, YOU do! Several recent studies have indicated that only a third of all tenants have renters’ insurance. Respondents to these surveys often indicate that they believe that the coverage is too expensive or that the coverage is provided by the landlord. Yet both of these assumptions are incorrect.
First, the average renters’ premium is less than $200/year, you can get protection for your personal property and personal liability coverage for as little as $15/month. Second, your landlord will likely have insurance, but it will only cover the house or apartment along with the landlord’s personal liability, not your possessions. Here are some tips to consider concerning this essential coverage:
- Create an inventory of everything in your apartment and list the estimated cost of replacing each item. Think in terms of replacement cost, without factoring in any depreciation. This will help you to determine the amount of coverage to purchase.
- Take photos of your more valuable items and store these off-site, such as in a safe deposit box at your bank, at a friend’s home or in an online cloud storage website.
- Consider combining coverage with your auto insurance company since you may be eligible for a car/renters’ discount.
- If your financial condition is solid, consider a higher deductible for your contents since this can reduce your premium significantly.
- Ask about other discounts, such as ones for smoke alarms, sprinkler systems, nonsmoking household, and security systems.
- If you have high-value jewelry items, you may want to schedule those on a separate policy or an endorsement to the renters’ policy for broader coverage.
Call us at 401-846-9629 for a policy review; we’re always here to help!