Many people across the globe live on rent for various purposes. While some are waiting to purchase their own home, some are having to move from one place to another due to job requirements or other reasons. Rented accommodation arrangements are the most feasible solution for such people.
However, as a tenant, how do you safeguard yourself against unforeseen and uneventful circumstances? The answer is through renters insurance coverage. Many people do not know the existence of such insurance, and many confuse it with a homeowners insurance policy. This article explains renters insurance and what it covers.
Generally, the landowners property insurance covers the whole building, but it will not cover the items in the tenant’s apartment. It will also not cover any damages for which a tenant can be sued by anyone who faced an accident within the rented apartment space.
With a renters insurance plan, tenants living in apartments, houses, condos, or other rented places get coverage against any kind of unexpected personal property damage, legal liability, or theft. Cheaper than a homeowners insurance policy, the renters insurance policy is a smart investment.
Before you take up a renters insurance policy, you must check what is covered in the policy.
Here are some important aspects included in the renters insurance coverage:
If you are responsible for someone else’s injury or property damage, the renters insurance policy will cover the liability expenses, including the legal costs. The amount of liability coverage varies from one insurance policy to other. However, the standard coverage is about $100,000.</p.
In case of property mutilation, renters insurance covers the cost of the damage. However, this will depend upon the limit of the policy. The elements that are usually responsible for the damage include wind, fire, flooding, theft, burglary, explosions, snow, and ice collapse, falling objects, vandalism, and similar cases. Check your renters’ insurance policy for specific terms of coverage.
A guest visiting your property might get injured on your premises, and the person might sue you for that. The renters insurance policy offers limited coverage for the medical expenses the guest incurs because of such an accident.
There are chances that your rented place becomes uninhabitable because of some covered peril. In such a situation, the renters insurance policy will pay for the expenses for your temporary living arrangements. This situation is often referred to as ‘loss of use coverage.
There are many insurance companies offering renters insurance coverage to tenants. Though the coverage areas remain almost the same for all policies, some of them offer additional benefits. Before you make a final decision, check in detail the clauses that are covered in the policy.
Spotlight Insurance Agency offers insurance solutions for ensuring a better future for people. Our team works towards providing the most cost-effective and appropriate insurance policies to customers, giving them the best experience. Contact us today to get started with your renters insurance coverage.
