Renters insurance is one of the most selling policies worldwide. Only in the USA above half of the population is now renting houses mainly because owning a home is not an easy thing to do these days. The analysis shows that the number of tenants will rise because of the changing demographics and housing preferences. The industry group analysis notes say that half of the residential buildings built between 2019 to 2020 are mostly rental units. There’s been a 22% increase in renting this year because NMHC’s (National Multi-Housing Council) analysis shows that management firms are not renting unless one shows them proof of insurance. So the question is who needs renters insurance and why? Tenants who have insurance coverage will not face any financial loss in case of any disaster or loss of property. Every single tenant who is living without coverage is on the verge of losing a home or valuables. Disasters and adversities cannot be predicted and having some kind of protection is an advantage.
What's It For?
When do I need renters insurance is a frequently asked question from agents nowadays and people see insurance as an extra expenditure? There are many reasons why you should consider obtaining renters insurance which is not only for damages done by fire and water or the damages done on the property premises. Some successful claims are as follows:
• A piece of luggage stolen from a hotel or lost by an airline
• Accidentally hurting someone while playing a game anywhere
• If one’s car gets stolen with valuables in it
• If a power outage or short circuit ruins your TV or electronics
• If you are robbed while on vacation
One should talk to his agent whenever he faces a loss no matter if you are covered or not. There are certain limits on such things as gold or jewellery e.g. one's 1000$ gold is covered but one should talk to his agent about buying additional coverage on such things.
• A piece of luggage stolen from a hotel or lost by an airline
• Accidentally hurting someone while playing a game anywhere
• If one’s car gets stolen with valuables in it
• If a power outage or short circuit ruins your TV or electronics
• If you are robbed while on vacation
One should talk to his agent whenever he faces a loss no matter if you are covered or not. There are certain limits on such things as gold or jewellery e.g. one's 1000$ gold is covered but one should talk to his agent about buying additional coverage on such things.
Affordable for General Public
Tenants often think that cost of insurance coverage is too high and who needs renters insurance anyway? But they don't realize that the regular meals they have every day, sometimes cost way more than cover costs. They can have valuable coverage for the protection of their personal property and can provide an amount of personal liability protection as well. At the National Association of Insurance Commissioners (NAIC) can be found that the average cost of a tenant insurance policy is between 10$ to 30$ per month or, between $100 and $300 a year depending on where you live and what you're insuring. This is a very small amount in exchange for a protection that covers all the goods that a tenant feels dear to and covers all the damages that can happen to the renter.
How To Buy Affordable Renters Insurance?
As per reports issued from the insurance information institute, there are certain things that one needs to consider before approaching an insurance agent. Generally a tenant needs a policy that covers three things.
• Provide money to replace personal property
• Give protection from a liability lawsuit
• And if one's rental unit is damaged or unlivable it should cover your living expenses
Different policy options determine how much your insurance coverage will cost. For example, if you choose a higher deductible policy and out of pocket expenses to replace certain items then the premium will be smaller, though you should realize that a cheaper policy will only pay you the depreciated value of your damaged goods instead of the amount you need to purchase new items as replacements. You should also look for discounts on insurance policies. Certain companies provide these policies e.g. if one has rental insurance at a company then he would usually be given a discount. Availing a tenant insurance policy feels like a hefty expense. But it has its leverages, the protection and peace of mind it provides is much less expensive if seen from another perspective. As they say, it's better to be safe than sorry.
• Provide money to replace personal property
• Give protection from a liability lawsuit
• And if one's rental unit is damaged or unlivable it should cover your living expenses
Different policy options determine how much your insurance coverage will cost. For example, if you choose a higher deductible policy and out of pocket expenses to replace certain items then the premium will be smaller, though you should realize that a cheaper policy will only pay you the depreciated value of your damaged goods instead of the amount you need to purchase new items as replacements. You should also look for discounts on insurance policies. Certain companies provide these policies e.g. if one has rental insurance at a company then he would usually be given a discount. Availing a tenant insurance policy feels like a hefty expense. But it has its leverages, the protection and peace of mind it provides is much less expensive if seen from another perspective. As they say, it's better to be safe than sorry.