Renters insurance is a great plan that covers personal items from unforeseen perils, such as fires, burglaries, or vandalism. However, it can be difficult to understand the ins and outs of renters insurance policies. While it may not seem like lost property is worthy of renters insurance coverage, there are a select few instances in which a renter can be insured if they lose some assets in the rental process. When assessing the features your renters insurance policy and discussing the terms with your insurance company, you may be wondering “Does renters insurance cover lost items?” In this article, we will discuss whether it is possible to get coverage for lost items (and when this coverage applies), what exactly constitutes lost property, and the factors that go into the costs and payment you can receive for lost property that is insured.
Likelihood of Lost Items Coverage
The truth is that it’s not very likely you are going to find a renters insurance company that provides a renters insurance lost items clause in their policy. One of the primary reasons that lost or misplaced items are not covered in renters insurance is that there isn’t really a reasonable unforeseen cause of losing the item, other than the fact that you, the renter, were negligent. Think of it in terms of another type of insurance; you wouldn’t go to your car insurance company and expect them to provide coverage in an instance in which you misplaced your car. So why would you expect any different with your other insured belongings? Another reason that renters insurance companies typically don’t cover lost items is that misplaced belongings were probably misplaced somewhere other than your rental unit.
What Constitutes Lost Items?
You may be wondering what constitutes lost items in the first place. Although these lost items are unlikely to be insured by your renters insurance company, here is an example of what people typically assume will be covered, but is typically not covered. Many people are misinformed that if they lose a belonging that is insured under their renters insurance policy (such as electronics), then that item will be insured if they lose it accidentally. However, this is not the case with renters insurance policies. If you take the insured item out of your home and lose it, that is on you. On the other hand, items that are considered accidental losses can be insured with a policy, but it will have to be in the form of scheduled personal property coverage that is added to your renters insurance policy.
Costs of Personal Property Coverage
If you do choose to take the route of an added scheduled personal property coverage, then you will need to be aware of the costs associated with this coverage. First and foremost, you should note that the cost of this coverage will likely be an added cost, on top of what you already pay for your renters insurance policy. Personal property coverage costs will depend highly upon the value of the property you want insured, as well as the company you go through. As a rule of thumb, the more valuable your property, the more expensive the coverage is likely going to be. When it comes to renters insurance, if you really want coverage in the case of accidental loss of property, you need to take extra measures to get that coverage, and that will mean getting scheduled personal property coverage in addition to your renters insurance.