An insurance policy for renters is designed to protect all personal belongings inside a leased property. Possessions inside apartments, condos and homes for rent are fully covered against damage, theft or loss. This type of insurance could also cover living expenses in case a leased space becomes uninhabitable for reasons that aren’t affiliated with the tenants in any way. Additionally, insurance for renters also provides protection against liability lawsuits that are filed by visitors such as friends or professional servicemen doing some work inside a leased property.
A renter’s insurance policy is offered for tenants who rent residential properties for short or long terms. Individuals who have roommates are encouraged to purchase this type of protection because of a high risk of theft of expensive items when guests visit a leased unit. Additionally, guests who get injured in a rented unit might file lawsuits against the tenants as well as the landlord.
How it Works
Policyholders need to create an inventory of the most expensive valuable items that are stored inside a leased residential unit. Photographs along with any receipts of original purchase are helpful in creating an official list that is used for reference when claims are ultimately filed. If something is reported as stolen or damaged, an official claim can be made in order to receive compensation for repair or replacement.
Types of Coverage
Personal property protection is the most common type of coverage in insurance for renters. Reimbursed living expenses protection offers compensation for temporary lodging and accommodations if a leased apartment or home becomes unsafe for occupancy. Liability protection offers tenants legal immunity against personal injury lawsuits.
Major Benefits
Individuals who have renter’s insurance don’t have to worry about spending a lot of money on replacing expensive personal items like electronic gadgets, laptop computers and jewelry. Additionally, freak accidents such as fires and gas pipe explosions might lead to eviction of all tenants inside a building. Renters who have this insurance policy could afford to comfortably live in a hotel without dishing out a single penny.