Most people who rent never think about renter’s insurance. But if you rent instead of own where you live, you should have an insurance policy to cover your personal belongings. Here are some basics about renters insurance.
Renters insurance is among the least expensive that you can buy. It usually works out to less than 45 cents a day. And you can have your premium reduced if you have safety features in your home, such as fire alarms.
Landlord Insurance Does Not Cover You
Your landlord probably has insurance but it does not cover your personal belongings. If there were a fire, the landlord’s insurance would cover the building. But your clothing and personal possessions are only covered if you have a renters policy.
Cash Value or Replacement Cost
You will have to choose either the actual cash value coverage or the replacement cost value coverage. The replacement cost option is more expensive, but you’ll receive what you need to replace an item as opposed to the actual cash value of the item.
Renters insurance is also for liability if someone is injured on your property. So even if you are not concerned with your personal belongings, the liability coverage is valuable. Speak with an insurance agent to learn more about this type of policy.