If landlords can charge you rent, can they require you to pay for your own renter's insurance, too? Well, the short answer is yes. In just about any state (except Oklahoma), landlords can require renter's insurance as a condition or part of your contractual lease. Not paying for or not maintaining your renter's insurance can result in them having tangible grounds to evict you, so it's certainly something to pay attention to whether your landlord requires it or not. Landlords can even require their tenants to carry an absolute minimum of renter's insurance coverage, so you have to ensure you're paying for at least the minimum they need. Today, we're going to look into why landlords might even require renter's insurance in the first place, how much coverage might be necessary, and how much you can anticipate spending each month.
Benefits of Renter’s Insurance
You may be wondering, why would a landlord require renter's insurance to begin with? There are several reasons, all of which benefit you as the tenant, too. Given that you're renting, you will likely keep many valuable and precious items in your home. A landlord's policy only covers the cost of damage to a property's structure, which means it adds an extra layer of protection to both of you should any damage occur. The bare-bones truth is that your landlord can avoid paying for damages much more quickly if you have renter's insurance. A reduction in liability, appeasing their insurance providers, and merely using renter's insurance as a tool to weed out bad tenants are all a reason that your landlord might require it.
How Much Coverage is Needed?
Is renter’s insurance required for apartments or houses you’re considering? Any renter’s insurance required by landlords can vary drastically in coverage, so it’s essential first to determine if it’s needed. If the landlord requires renter’s insurance, they likely have a bare minimum so that you can compare renter’s insurance quotes. While you tackle how much coverage is needed after finding out that a landlord can require renter’s insurance, keep in mind your coverage limit, deductibles, and overall coverages and amenities with each plan. Every insurance company will offer something different, so be prepared to spend some time doing your research. Finally, keep in mind that all the variables you add or take away from your insurance plan will increase or decrease the premium you pay each month.
Wrapping Everything Up
Can a landlord require renter’s insurance? We know now that they can, but you don’t have to choose a landlord that does. While it is becoming more commonplace, there’s still a long way to go before a landlord requiring renter’s insurance is mainstream, so decide for yourself if you want to be a tenant for someone that makes that a requirement. However, an important thing to note is that your possessions are not protected by your landlord’s home insurance, even if they don’t require that you pay renter’s insurance. Ultimately, the renter’s insurance is for your benefit, so some landlords need you to have that reassuring liability. After all – there’s no telling what can happen, so it’s always best to stay prepared. Plus, renter’s insurance is typically very affordable, being only 10 or 15 bucks a month for most tenants. Even if renter’s insurance is required in your next home, it won’t be a deep-seated expense out of your wallet each month.