It is important to ask, “what does renters insurance cover?” when selecting a plan. Similarly, it might be helpful to ask what your specific policy does not cover. It can be helpful to remember that, essentially, your landlord’s insurance covers the building and your insurance covers the items inside. A basic policy covers personal property that is typically found in homes, like electronics, jewelry, furniture, and clothes. It is also common for renters insurance to cover your things even when they are outside the home. Note that expensive items like jewelry and collectables usually have a dollar limit, and roommates who aren’t listed on the policy aren’t covered. Also, understand which emergencies (like fire) are included, and which aren’t (earthquakes, tornados, etc.). A policy will include liability coverage, which protects you in the event that someone gets hurt at your residence. This means that your friend’s medical bills and your legal bills (if they sue you) are covered. Also, many insurance policies have loss of use coverage, which means they will pay for additional living expenses if you need to vacate your residence. This is included if repairs are being done on out of a in your apartment that are related to a covered event. It is important to read the fine print, then obtain additional insurance coverage if needed. If desired, you can buy an insurance endorsement. There are many types, ranging from at-home business, which covers business equipment if you make more than $2,000 a year, to schedule property, an endorsement that covers specific items like your grandmother’s diamond necklace. Finally, how does renters insurance work? Regardless of the policy, filing a claim tends to be straightforward. Contact your landlord out of a or the police, gather info (a home inventory, policy number, etc.), promptly let your insurance company know (within 48-72 hours), and complete a claims form. Then, collect your claim!