Understanding Insurance Claims

3 Reasons To Acquire Renters Insurance

Many people dismiss the importance of renters insurance because they assume either their belongings are not valuable enough to cover or that the insurance is expensive and not worth it. Others believe their landlord's insurance covers tenants. However, they are mistaken because landlord insurance only covers the physical building. If the building incurs damage, the landlord will receive compensation, but the tenants will lose their belongings. Here are some reasons why you should get renters insurance:

Protect Your Belongings

As a renter, you may think you do not have things of value worth insuring; however, if you take account of all your belongings, you might be surprised by how much they are worth. For instance, imagine losing your electronics like TVs, laptops, gaming consoles, and smartphones and furniture like your beds, chairs, sofas, and table to theft or a house fire. It will be very costly to replace them, so getting renters insurance is essential. The insurance will cover your belongings against loss or damage caused by burglaries, fires, and natural disasters like hurricanes. Overall, renters insurance will help you protect your belongings in case of loss or destruction.

Liability Coverage

People might get injured while in your rental home or apartment and expect you to take financial responsibility for their injuries. The injuries could result from a dog bite, a fall, or your actions. If you do not have renters insurance, you will instantly begin worrying about where you will get the money to cover their medical bills. However, if you have a renters insurance policy, you will have peace of mind knowing your insurance provider will pay the injured person's medical bills up to your policy's limit. You can then focus on providing support to the person while they recover. Overall, renters insurance prevents you from paying for liabilities out of pocket.

Temporarily Cover Your Living Expenses

Events like a house fire or natural disasters like tornadoes and hurricanes can render your rental home or apartment temporarily uninhabitable as your landlord makes repairs. That means you have to find alternative housing during the repairs, such as staying in a hotel, meaning you will incur living expenses on top of your rent. Without renters insurance, you will have to pay for such costs out of pocket, which can be costly and severely dent your savings. However, if you have renters insurance, your policy will reimburse additional expenses incurred while you cannot live in your apartment. That includes hotel bills, pet care bills, and eating-out expenses. Renters insurance will keep you comfortable while you wait for the completion of your apartment's repairs.

Contact an insurance agent for more information about renters insurance