Renters Insurance FAQ

Renters insurance can be confusing, to say the least. Here's a renters insurance FAQ that explains the basics of renters insurance in simple terms.

Why do I need renters insurance?

Natural disasters like floods and hurricanes are on the rise, theft and vandalism are increasing, and if you don't have renters insurance you could lose everything you own.

Many renters think their landlord's insurance will cover damages to their personal possessions, but it won't. Your landlord's insurance only covers the building you live in.

What does renters insurance cover?

Renters insurance provides three basic areas of coverage:

1. Personal property coverage pays to replace your possessions when they're damaged by fire, vandalism, and storms, or when they're stolen.

2. Loss-of-use coverage pays your hotel and restaurant bills when your residence is being repaired due to damage by fire, vandalism, or storms, and you need temporary living quarters.

3. Personal liability coverage pays for another person's medical bills and property repair bills when you, your family, or your pet are found responsible for injuring them or damaging their property. It also covers your legal fees if you're sued.

What's not covered?

Renters insurance does not cover damage caused by earthquakes or flooding. There are also limits on coverage for expensive items like jewelry, silverware, furs, antiques, and computers. If you live in an earthquake or flood zone, or have expensive items that aren't fully covered, you can purchase additional insurance.

How much coverage do I need?

You need enough personal property coverage to pay for all your possessions if they're destroyed, and enough liability insurance to cover all your assets if your sued. Take an inventory of your possessions and use the total value as your coverage amount. Then total your assets - bank accounts, stocks, bond, CDs, etc. - and make sure you have enough coverage to protect them.

How much does renters insurance cost?

Renters insurance is cheap. It can cost as little as $16 a month for $20,000 worth of personal property coverage with $300,000 liability coverage. That's less than the cost of a music CD to insure all your personal property and all your assets are protected.

credited brian stevens

Online Renters Insurance Quote - So Easy A Caveman Can Do It

The internet has made our daily lives much easier in so many regards and getting an online renters insurance quote is just one of them. Here are some of the bigger benefits and what you should be aware of when getting any type of quote.

Trying to move into a new home or apartment is not an easy task. There are a million and one different things you have to do before moving. Going to an insurance agent's office is not one of the things you look forward to doing. This is where getting an online quote can be so helpful.

You can access a renters insurance quote 24/7 on the internet. You can plug in your insurance information and instantly get a quote and even apply for a policy.

You are also able to compare quotes from different insurance companies. What may be a very competitive quote from one insurance company may be more expensive from another.

Some of the basic coverage's you'll need to keep in mind include:

-Contents amount - Go through and make a list of your contents along with an approximate value so you will have the right amount of coverage. You don't want to under estimate your renters policy coverage.

-Be sure to have a minimum of $100,000 in liability coverage with any renters insurance policy.

-Do you need flood insurance coverage? Renters insurance does not include protection and coverage against flooding. You will need a separate flood policy for that.

-Pick a deductible you can handle in the event of a loss. Of course, a $1,000 deductible will be less expensive than a $100 deductible, but can you come up with that amount in the event of a covered loss?

Once you have an idea of the amount of coverage you need, deductible, and other extras, you can then go on the internet and quickly obtain an online renters insurance quote. It really is so easy a caveman can do it!

credited by Terry Edwards