Homeownership may be out of the cards for many people. Some have been priced out of the market due to current home prices and high-interest rates. Others have no desire to be tied to one location or the additional expenses and duties that come with owning a home.
Judging from the astonishing number of new apartment complexes rising in large and small cities across the country, the choices for renters are numerous.
One thing renters and homeowners have in common is the need to protect their property and finances.
If you are renting a home or apartment, and a fire breaks out, the landlord is responsible for repairing or replacing the building. As a renter, you are responsible for fixing or replacing your personal property. Think of your furniture, clothing, electronics, and other valuable items.
Renters insurance can provide protection for your valuables. How much insurance do you need? You can determine this by taking an inventory of your personal belongings and determining how much it would cost to replace each item. Many policies limit the amount of coverage for electronics, jewelry, fine art, and collectibles. You may need to purchase a special rider to cover additional amounts for these items if needed.
Renter’s insurance can also provide liability coverage. For instance, let’s say your dog bites your friend while visiting you. Your liability coverage will pay for medical expenses for that guest if you are at fault.
And let’s say there is a fire, and you cannot occupy your apartment while repairs are being made. A renter’s policy can help cover the cost of lodging up to a certain amount while your home is being repaired or you find a new place.
The good news is that renter’s insurance is affordable compared to automobile or homeowners’ insurance. The small premium you pay can save you a great deal of money and stress if you experience a covered event. The key is to shop around when purchasing your coverage each time it renews.
No one can predict when disaster will strike. If you are renting and do not have renters’ insurance, I recommend that you contact your insurance agent to secure coverage today.
