Renters Insurance

RENTERS Insurance Policy
Renters insurance is an insurance policy specially designed for those who lease or rent their homes. Rent insurance has become more available in the past 20 years because of the growing number of people who are deciding not to purchase homes, whether it is because of the fluctuating real estate market or the ease of renting. A renters policy is very similar to a homeowners policy with the exception that it does not cover the building, the structure or the property in case of emergency.

The Renters Insurance Policy
Most national insurance companies include a renters policy, which can be purchased either alone or bundled with another policy such as automobile insurance. Bundling allows the premiums to be lower than with a policy by itself, and renter insurance typically covers the tenants belongings, including clothing, furniture, jewelry, appliances, electronics, and TVs in the event of fire, extreme weather, bursting pipes or electrical problems.

Three different policies meet the needs of most renters: loss of use coverage, personal property coverage and personal liability coverage, and the policies are offered at variable limits for the renter, but the average coverage is approximately $20,000 or $30,000 for possessions only.

Major Benefits for Renters
In many states, a renter insurance policy is required when moving in, but the tenant can opt for a low coverage, which will keep the policy inexpensive. If the policy is purchased by itself, then the average cost maybe $15 to $20 a month, and if the renter policy is bundled with other policies, the premiums will be even lower. This makes rent insurance a small price to pay to protect your belongings.

It is human nature not to project horrific events in the future, but a responsible person prepares for the possibility of them happening anyway. Realistically, catastrophes happen everyday, so it is more effective to be prepared, and renters insurance provides a secure way to do that.