Did you know that only 44% of Americans have renters insurance? That’s because renters insurance is one of the most underrated types of insurance that most Americans tend to overlook.
However, when you rent an apartment, it might be a surprise that your belongings do not get protection under your landlord’s insurance policy. And that’s when you regret not investing in renters insurance. Tailor-made renters insurance can perfectly fit your lifestyle and meet your individual coverage needs. So, if you plan to purchase renters insurance, here are a few questions to ask your independent insurance agent to make the right choice. You might also visit sites like https://www.lopriore.com for more information.
What is Renters Insurance?
Renters insurance, designed to protect you and your personal property, covers costs incurred in repairing and replacing your belongings. It also provides coverage for damages that you are liable for, and living expenses when you cannot live on the property due to repair work.
Check if the renters insurance covers family homes and condos, which you will probably rent. Allow the agent to brief you with the outline of this insurance for a better perspective.
What Does Renters Insurance Cover?
Typically, this insurance scheme covers personal belongings like furniture, clothing, appliances, and electronic items. Maintaining an updated home inventory of personal belongings is an excellent way to estimate their total worth. You can then choose the right insurance plan.
However, check with the independent insurance agent, which items from your personal property will require additional insurance. Ask if they can help you assess your property value and make sure they propose adequate coverage.
Does the Renters Insurance Offer Liability Coverage?
At times you may be held liable for any potential damage to neighboring suites and be careful as it might cost you a fortune. Check with the independent agent, if the renters insurance provides liability coverage.
You left the toaster switch on, which created fire, causing damage in the neighboring units. In such scenarios, you stand liable. However, liability coverage takes care of the funds to replace and fix any damage.
Discuss with your agent, whether liability coverage pays for medical expenses and legal bills for the person you injured on your property.
Will the Renters Insurance Cover Additional Living Expenses?
If you live in states like Massachusetts, then frozen pipes are one menace, you cannot ignore.
Sometimes, during the period when the landlord coordinates such repair work, you won’t be able to live in the rental home. So, you might need some source of funds to support your additional living expenses. And that’s where renters insurance comes in the picture.
Confirm with the insurance agent about the perils that the renters insurance cover. Also, check if you can claim your hotel bills, gas, and food under this insurance policy.
What Factors Affect Renters Insurance Premium?
There are a few reasonable factors that decide the premium you would require to pay per month towards your renters insurance.
For instance, if you live in a risk-prone area, you may have to pay a higher premium. See how much it varies with your rental location.
Also, check with your agent about the deductibles for which you will have to spend from your wallet before your insurance coverage takes effect.
Is Renters Insurance Expensive?
Ideally, renters insurance is quite affordable and varies from city to city. In states like MA, the average cost ranges between $217 to $220.
Check with your independent insurance agent, if the cost is almost close to the state average. Also confirm, if you are eligible to receive discounts when you purchase multiple policies or have specific safety features in your home.
In most states, the law doesn’t make renters insurance mandatory; however, having renters insurance can make you stand out from other renters eyeing the same property as you. Consult an independent insurance agent, and clear all your queries to choose the best renters insurance, that is in line with your coverage requirements.