What Does Renters Insurance Cover, Anyway?

Posted by Pekin Insurance on Jul 11, 2016

Stop wondering, "What does renters insurance cover?" Know the answer (and get a policy!) before an emergency happens.

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Imagine your apartment building burns down and you lose everything. When you live in a complex, it doesn't matter how careful you are. Someone in another apartment accidentally left their stove on, and now four of the six apartments in the complex are uninhabitable—including yours. What does renters insurance cover? It's important to know the answer to that question before you find yourself in a situation like this.

What does renters insurance cover?

Renters insurance covers personal possessions such as clothes, furniture, electronics, and musical instruments, up to your coverage limit.

You may think that your possessions are not valuable and may not be worth covering, but you would be wrong. Tally up the cost of a new wardrobe, new furniture, a television, your computer or tablet, a guitar or other musical instrument, a microwave or other appliances, and all the things you use daily. 

If you have nice, expensive things, such as jewelry or fine furniture, an elaborate sound system, or high-end electronics, you may want to buy an insurance rider to cover those things to recover cash value rather than just replacement costs.

What does renters insurance cover besides belongings?

Renters insurance also offers liability coverage. If someone sustains an injury in your apartment or the home you are renting, whether it be a friend, family, the mailman, or a service worker like a repair or delivery person, standard renters insurance will cover liability up to a certain amount (as set in your policy).

Common occurrences happen in the home, such as slipping on ice or sustaining a bite by a pet. You can easily be sued when these events occur. Renters insurance covers costs to resolve claims or defend lawsuits brought against you. It also takes care of medical expenses for people other than residents who may be accidentally injured in your home.

What does renters insurance cover in a fire?

If the home or apartment you rent is damaged and you are unable to live in it, you will need to live somewhere else while your residence is being repaired. Renters insurance will typically pay for the living expenses (housing, hotel bills, meals, etc.) you incur while relocated after a covered loss for a specified time depending on your policy coverage.

Renters insurance in this case, especially if you do not have friends or relatives nearby, can be a life saver for helping you stay safe and secure with alternate living arrangements.

Now that you know what renters insurance covers, why should you get it?

Most people assume their landlord’s insurance will cover them, but that is not the case. Renters insurance helps to:

  • Protect your assets in case of fire and theft.
  • Protect against liabilities that can have serious financial implications.
  • Cover costs of a place to stay and food to eat if disaster strikes.

Once you understand what renters insurance covers, it is easy to recognize the value of this affordable form of security and protection for you, your guests, and your possessions.

Protect your savings, protect your things, and protect those who visit your home.

Renters insurance provides the coverage you need to replace possessions, protect against liability, and pay medical expenses, and it also offers security in the event of theft, fire, and other events. Don’t be caught unprepared; contact your local Pekin Insurance agent now for a renters insurance policy.

Do you have a renters policy? Have you ever filed a claim? Let us know if you have any questions in the comments.

  

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