If you're a renter, you're responsible for keeping your belongings protected. Whether it's an unexpected leaky pipe or fire, or your home has been burglarized, renters insurance can ensure that you get repaid for the replacement cost of most of your things.
Before you decide on a policy, How Much is Renters Insurance, and what exactly will it cover? Read on to discover the cost of this helpful insurance and how it can help you get peace of mind as a renter.
On average, the monthly cost for renters insurance is around $20. This price can depend on several factors including your location, the size of your home, and how many people are covered.
In general, this insurance should not cost you more than $30-$35 per month unless you're paying for something supplemental like covering fine art, jewelry, or antiques. The average cost hovers between $15 and $20 per month for most renters.
Some companies will offer you a discount after you've had their insurance for some time. This means your rates could decrease over time as long as you don't file a claim.
If you already have auto insurance, check with your provider to see if they offer a bundled price. This could save you even more money and make it easier since you can simply make one monthly payment for everything at once.
In general, renters insurance is designed to cover the cost of replacing your belongings in the event of damage or theft. This type of insurance will not cover the structure that you live in. That portion is the responsibility of your landlord, who should have homeowner's insurance already in place.
If you happen to become displaced due to an event like a fire, your renters insurance should also cover the cost of a hotel room until you either move back into your old place or find a new one. When it comes to liability, ask about this coverage.
Liability will cover the cost of someone who happens to get injured while on your property. For example, if your friend comes over and falls down the stairs and breaks a leg, your renters insurance should give them a set amount to cover their medical costs.
While this form of insurance isn't quite as comprehensive as homeowner's insurance, it's extremely important to have. You don't want to be stuck buying a new computer and new furniture if your place burns down. For a small monthly rate, it's certainly worth it to have peace of mind.
There are several factors insurance companies will examine before they give you an accurate rate. These factors include:
Each of these factors will help the insurance company determine what your rates should be. Overall, you can still expect them to be affordable and within the $20-$30 per month range.
Sometimes you may be asked to disclose your past insurance history. Companies are on the lookout for customers who frequently file claims, as this raises a red flag of the potential for new ones in the future. This type of customer is known as "high risk," and it could result in higher claims at least temporarily.
The insurance company will have you file a claim if certain events occur that would cause damage to the things you own. These claims can include:
Whenever you move, start a detailed list of your most valuable items. Keeping a good inventory will give you more power in the event that you need to file a claim.
Jot down the serial number of important things like your television set, computer, and other small electronics. Write down in detail other items such as collectibles including the name of the item and if it's still in the box.
The more detailed you can be, the better off your results will be when you have to make a claim. Take pictures of your items too, as these can serve as proof if you don't still have the receipts.
Check your policy occasionally to be sure that the current limits are up to your standards. If you end up buying a lot of new and expensive items, you might want to call your renters insurance company to make sure you have enough coverage.
Do your homework before you commit to an insurance company by reading reviews of other customers or by asking friends and family for recommendations. It's essential to have an accurate snapshot of how good they are at processing claims and how easy they are to deal with.
Keep in mind that getting your money will take some time. Keep all receipts of costs associated with your plights such as hotel and food costs. This will give the insurance company the information they need to repay you.
There are some things you can do to get the lowest rate possible like installing cameras or burglar alarms in your home or apartment. You can also be proactive by making sure your place is well-lit at night to avoid potential burglary.
Doing a few simple things like adding deadbolts to your doors will improve your chances of getting a better rate. In addition, the longer you go without filing a claim, the better the odds are that your rates will slowly be lowered.
If you downsize or move to a new, safer zip code, alert your insurance company so they can reevaluate your current rates. Just like auto and home insurance, where you live has a big impact on the cost of coverage so you might be eligible for a discount.
Now that the question of How Much is Renters Insurance has been answered, you'll be better prepared when you sign up for your policy. From installing cameras to keeping accurate logs of your belongings, this important insurance will give you peace of mind and help make things right when things go wrong.
For more information about other insurance topics, or to get a renters insurance quote, be sure to visit our website.