When you buy a home, you are usually well aware of the need to protect your investment with homeowners insurance. The fact that it is usually part of any deal with a mortgage company is beside the point, since it’s something you would probably want to have anyway. Renting a home is a little different, usually because renters believe that insurance is something the owner of the property will take care of. While that is true to a point, you might still be liable for damages that take place while you are renting the property, making renters insurance an absolute must.
Before you go shopping for insurance, you should know that there are two types of renters insurance available to you. As the name suggests, renter’s property insurance basically protects all of your belongings from fire, theft, or any other issue that could lead to damage or total loss. Renter’s liability insurance is more about protecting yourself from damage that might happen to the property while you are living there, as well as covering you should someone get hurt while visiting the property.
What you are likely to find when you do eventually go shopping for renters insurance is that it is really quite a small monthly investment. It’s not uncommon to get a great deal of coverage for a little as $10 per month. It’s easy to dismiss the need for this type of insurance, but you need to consider of the benefits of paying that small monthly premium. It all begins with protecting your property from theft or damage. If the apartment you live in springs a leak and all your stuff gets destroyed, don’t count on the owner of the property paying for your damages.
It’s also a good idea to protect yourself from any damages that happen to the rental property that are directly your fault. An accident in the home that causes damage to the property could very well end with you being handed the bill for the repairs. It’s well worth paying that small amount every month that you likely won’t even miss, rather than having to pay a huge bill for an accident that caused damage. Speaking of damages, you could be held responsible for an injury that a visitor might incur while visiting your place. If you don’t have insurance, that person has the right to sue you for the medical bills that come as a result of the injury.
If you want all of the above items to be covered, you are probably going to have to go with both types of renters insurance. It’s a good idea to pay a little extra to get both, rather than having one kind and having something not covered happen at your rental property. As is the case with all types of insurance, it’s there to protect you, so go find out how much renters insurance costs and take advantage of it.