Those who rent an apartment, condominium or single family home should purchase renters insurance. This type of insurance is very important, but many people who rent do not know why they should protect themselves and the property they live in if it belongs to someone else. Insurance companies report that millions of people in the U.S. who rent a home neglect to buy this important protection. In the event of vandalism, fire, or theft, the renter’s personal belongings – including computers, household items, electronics, or jewelry – the renter is covered by a valuable insurance policy.
Someone who rents a home from an owner should consider potential liability if the property is destroyed. In the event that a fire ravages the renter’s home space, he or she would probably lose a lot of personal property as well. The rented property would also need to be rebuilt or made habitable after the destructive occurrence. The renter would need to find another place to live or relocate until his or her home was available again.
Why insure a rental property?
An individual who has insurance in this sort of scenario is protected. He or she doesn’t need to worry about the costs associated with finding another place to live. Because personal belongings of the renter aren’t covered by the owner’s property insurance, the renter’s personal furnishings, clothes, and the like are covered by his or her insurance company’s coverage.
What does it cost to insure a rental?
Many insurance companies write insurance coverage for those who rent a home. If the renter also has car insurance, he or she could inquire about rental home coverage as well. The insured may receive a discount on a second form of insurance if he or she is already an insured driver. There’s usually no need to increase deductibles on auto insurance in order to pay for another insurance policy for one’s rental home.
Insurance for renters is an inexpensive way to protect the contents of a rented home in the event of a fire or other event that destroys the home in which the renter lives. Depending upon the renter’s market, a rental insurance policy may cost just a few hundred dollars per year. That’s a great investment in the renter’s peace of mind.