What type of insurance coverage do I need if I’m just a renting a house?

When you rent a property, you need a different type of insurance protection than you would if you owned the home. You should realize that you do need your own policy; the landlord’s policy does not cover your belongings. While rental policies differ by the insurer, some features are standard.

Facts About Rental Policies

A renter’s policy provides you with protection similar to a homeowner’s plan. The main difference is that the structure itself is not part of your package. Your possessions are protected from the same common perils including theft, fire, storm and vandalism. When you have a rental policy, you do need to choose from cash value or replacement costs for your property.

Cash value means that you would receive the depreciated amount for your items. For example, the sofa you paid $500 for three years ago might only have a value of $300 at the time of your claim. With a replacement policy, if an equivalent new sofa now costs $600, that is what you would receive. Remember that deductibles still apply.

Your policy provides you with liability protection and medical payments for someone injured in your rental unit. Most policies will also cover your additional expenses if you need to relocate if your rental unit is unlivable due to a covered event. This is beneficial protection to look for.

Additional features can include a certain level of credit card protection. You may also elect to have extra protection if you have expensive jewelry, art or other collections. Some landlords will require you to have renters protection. Fortunately, these policies are normally very affordable.

As an independent agency, you can use our service to compare quotes online. This allows you to get the information you need at your convenience. We will be there for you to answer any questions you have and make sure you have the insurance coverage you need.