Protecting The Important Things With Renters Insurance
Renters insurance protects your personal possessions. Your furniture, gadgets, clothes just in case they get damaged or destroyed by fire, vandalism or other unfortunate events. The policy itself isn't going to break the bank either. A Renters policy is around 15 bucks a month to get started. That includes liability protection in case someone gets hurt in your rental.
Insurance Navy has got your back, working with top carriers like Progressive, Dairyland and Bristol West to compare rates and find the best deal that fits your budget.
What is Renters Insurance?
Renters insurance is a policy that offers financial coverage if your personal belongings within your rented home get damaged or stolen. Some perils your insurance company protects your belongings from include theft and fires.
Renters insurance will also assist you with expenses that may accumulate after someone gets hurt in your rental home. Expenses covered under this insurance include medical bills and court fees. It should also be noted that renters insurance differs from landlord or rental property insurance.
Some renters may assume that their landlord’s insurance policy protects their rental entirely, but that is not the case in a lease. A landlord’s policy, usually a home insurance policy, will only cover the structure of the building or home. What is inside is the tenant’s responsibility and why renters insurance exists.
Who Needs Renters Insurance?
While no state actually requires you to have renters insurance, a lot of landlords and property managers are pretty strict about requiring proof of coverage before you can move in. Bigger apartment complexes managed by major real estate companies always enforce this rule. These kinds of places usually want to see that you've got a minimum of $100,000 in liability coverage.
Even if it's not mandatory, having renters insurance can still be a lifesaver if you're living in a high-theft area or you're renting an older building with a fire risk.
How Much Renters Insurance Coverage Should You Have?
Standard renters insurance policies cover personal liability, property damage, and loss-of-use coverage. You can adjust your coverage limits on your renters policy as you see fit for your living circumstances.
When you buy renters insurance you get to decide on how much coverage you want for your personal belongings, liability, and the cost of being temporarily out of your rental home.
To figure out how much to spend on personal property coverage, start by making a list of everything you own. Itemize everything from furniture to clothes to your fancy new TV. Try to estimate how much it would cost to replace everything. To be honest, most people underestimate the value of their stuff; the average apartment is worth around $20,000 to $30,000 in total.
Liability coverage will kick in to pay out if someone gets hurt in your rental and decides to sue. Standard policies usually come with $100,000 of coverage, but you can get $300,000 for just a few extra dollars per month.
Deductibles for renters policies usually fall between $250 and $1,000. The higher your deductible, the lower your premium will be, but the more you'll have to shell out yourself when you do file a claim.
Renters Insurance Perils Coverage
Renters coverage includes several different perils it will protect your belongings from.
Below are the types of damages your renters policy will cover.
Theft
Water damage (if applicable)
Fire/Smoke damage
Hail or windstorm
Lightning
Explosion damage
Vandalism
Civil commotion
Remember that renters insurance also includes liability coverage, meaning you will be protected if someone is injured during your rental. It will cover medical expenses and any court or legal fees accumulated following an accident.
Loss of use coverage is also under your renters insurance policy. Also known as Additional Living Expenses coverage (ALE), it will help with your additional living expenses should your rental be inhabitable for some time.
What Does Renters Insurance Not Cover?
If a river floods your unit or a storm surge comes flooding in, the typical renters policy won't do a thing for you, flood damage is not covered. But if your pipes burst and you're left with a soggy mess, your insurer will usually pay out.
On the other hand, renters in areas designated as high-risk flood zones would do well to look into a separate flood policy through the National Flood Insurance Program.
Regarding your property, any cars you have will be exempt from your renters insurance policy, even if they reside in an attached garage.
Business-Related Losses may also not be covered by low-cost renters' insurance. Depending on your circumstances, extra coverage for commercial ventures could require something more like a business owner’s policy.
Standard policies do put a limit on how much they'll pay out on pricey items like expensive jewellery, art work and electronic equipment. Its usually between $1,500 & $2,500 per item category. If you've got something like a $5,000 engagement ring or some really expensive camera kit, you'll need to buy a personal property add-on or an umbrella policy to get full coverage..
Renters Insurance Cost
The national average for renters insurance is around 15-20 bucks a month for $30,000 in coverage for your stuff and $100,000 in liability. The rates can vary a lot depending on where you live. Chicago and the surrounding areas tend to be a bit pricier, while suburban areas in Illinois can be quite a bit cheaper.
So, what's going to impact your premiums? Well, the age of the building you're renting, how close you are to a fire station, if you've made any claims before and whether your unit has got any security features like a deadbolt or a monitored alarm system are all going to play a part.
How to Get Low Cost Renters Insurance
There's a few other things you can do to reduce your renters insurance costs, beyond just picking the cheapest carrier to go with. Listed below are some easy way to lower your rates.
Shop Around for Cheaper Renters Insurance rates
The same coverage can cost a whopping 40% more or less depending on which carrier you go with. Insurance Navy can help you out by comparing quotes from multiple carriers like Progressive, Dairyland and Bristol West to find the cheapest deal for you. An independent broker can also help you spot discounts that you might not have spotted yourself. If you bundle your renters and auto insurance, or if you've got some kind of protective device that could save a few bucks off your premiums.
Adjust Your Renters Insurance Deductible
Increasing your deductible from $250 to $500 will likely knock your premiums down by 10-15%. Increasing it all the way up to a $1,000 deductible can actually save you even more. Although it will also leave you with a bigger bill when you do file a claim. So think about what you can really afford to pay out of pocket if the worst happens.
Bundling Renters Insurance with other coverage
Bundling your renters and auto insurance with the same carrier is usually the way to go. You can save around 5-15% on both policies, and some carriers like Progressive will even knock off 5% on each policy when you bundle. Travelers and Nationwide are also pretty good at giving you a break when you bundle.
Insurance Navy agents can help you out by quoting your auto and renters coverage together, so you can see exactly how much you can save.
Improve Your Credit Score
The way things work is that most states allow insurers to use your credit score to set your premiums, which isn't always the fairest deal. But if you're in a state like Illinois or Texas where Insurance Navy operates, having a credit score above 700 can cut your premiums by 10-25% compared to someone with a score below 600.
Install Safety Features for a Renters Insurance Discount
One of the best ways to save on your renters insurance rates is to improve the safety of your rented home. This would include installing safety devices like smoke alarms and a security system. When your place is considered safe by an insurance company, they will generally lower your premiums. Rental properties with sprinkler systems usually receive a discount because of the decreased risk of fire destroying the contents of your home.
Get Affordable Renters Insurance Quotes online or over the phone
Insurance Navy offers the most competitive rates for renters insurance. All you have to do is request a renters insurance quote online or call us at 855-949-6289, and our insurance agents will provide you with personalized service and offer the best possible renters insurance quotes based on your needs!
Our knowledgeable customer care agents have all the answers to your frequently asked questions or FAQs.
Get Affordable Renters Insurance with Insurance Navy™ today and save with Affordable Renters Coverage
*This product may not be available in every state; please call an insurance agent for more information on renter insurance.