Renter's Insurance

Renter's insurance is ignored by over half of the people in the United States who rent apartments, houses, and condominiums. Some think their landlord's policy will cover them. Others think this insurance is too expensive. Yet others just haven't gotten around to it. However, anyone who has even the smallest amount of personal property needs renter's insurance. It's easy to buy, it's inexpensive, and it can be a huge relief in case of fire, theft, or vandalism.

Renter's insurance typically covers a tenant's personal property, including clothing, furniture, stereo, jewelry, and everything else you own in your apartment. The insurance company will give you money to replace your property in case of a number of covered events, such as fire, theft, wind damage, some water damage, and vandalism.

Most policies will also help you with temporary housing should your primary residence become uninhabitable.

A typical renter's policy also protects you in the event that someone is injured in your apartment. For example, if a guest slips on your newly waxed kitchen floor and sprains his ankle, your renter's policy will cover his medical expenses.

Many people who rent apartments and houses think that their landlord's insurance covers them. That's true up to a point. A typical landlord policy covers the structure in which you live, but not your personal property. Renter's insurance is necessary to cover your belongings should there be a fire to the building, wind damage, vandalism, or a break-in. Even a small amount of property can be costly to replace if you lose everything all at once.

Renter's policies are generally inexpensive. A basic policy can be purchased for around $100 per year. That's less than $10 per month to protect the things that you own.

There are typically two types of renter's insurance policies available:

• Actual Cost Value (ACV) -- ACV policies reimburse you for the actual value of your property, factoring in depreciation. For example, if your five-year old stereo is damaged, the actual cost policy would reimburse you the value of a five-year old stereo.
• Replacement Cost -- Replacement cost policies, on the other hand, reimburse you for the amount to replace your destroyed item. If that same five-year old stereo is damaged, a replacement cost policy would allow you to buy a new, similar stereo.

The difference in policy cost between these two types of policies is usually small. The replacement cost policy is generally worth the difference.

Most major insurance companies, such as State Farm Insurance, Allstate Insurance, Geico Insurance, and Nationwide Insurance, sell renter's policies. Policies can be purchased in person, over the telephone, and, increasingly, over the Internet. Generally, renter's policies carry annual, or sometimes quarterly, premiums. Monthly payment plans are rarely available since the premiums are so low.

As with other types of insurance, renter's policies have a deductible. That is the amount that you, the policy holder, pays before the insurance company pays anything. The deductible applies to everything except for liability coverage and is the largest determining factor in setting your premium. The higher the deductible, the lower the policy premium.

Most of your personal property is covered in an umbrella renter's policy, but certain high-value items, such as artwork, jewelry, sterling silver, and antiques are covered only up to a specified amount. To insure items over this amount, you must buy a "rider" to the basic renter's policy. This is additional coverage for specific items. To get this coverage, generally, you must have the item(s) appraised by a certified appraiser in your item's field and submit this appraisal to the insurance company. Premiums for personal property riders are based on a per $100 of value.

If you rent your home, think seriously about getting a basic renter's policy. Nobody thinks that disaster is going to strike them, but if it does, knowing your property is protected can give you piece of mind during a difficult time.

• Renter's Insurance Quote
• Home Insurance for Rented Property Ireland
• Motorcycle Insurance
• State Farm Insurance
• Flood Insurance
• Allstate Insurance.

• Roadside Assistance Plans
• Full Coverage Dental Insurance
• Low Cost Motorcycle Insurance
• Car Accident Reports

• Free Medical Release Forms
• Sample Medical Release Form
• Guardian Dental Insurance
• Insurance Sample Cancellation Letter
• Sears Appliance Extended Warranty