You have just moved into your new apartment and have a million things on your mind. The last thing you are probably thinking about is renters insurance. However, it could be the most important purchase you make. Though you hope to never use it, it helps knowing your policy has your back if you do.
To fully understand what renters insurance covers, it may help to first understand what your landlord’s insurance does not cover. Your landlord likely has property insurance that protects the structure of your rental unit against fire, inclement weather, and other covered events. This policy is likely to cover only the landlord’s property – not your own. That means that if your apartment goes up in flames, you could find yourself with little more than the shirt on your back.
Rental insurance fills in the gaps left by your landlord’s policy. If you have expensive art on the walls, rental insurance can help reimburse you for it. If your spare bedroom is used as a media room, rental insurance can help replace your expensive electronics. Even if you think you do not own anything of high value, renters insurance could save you thousands by replacing your furnishings and personal wardrobe should they be damaged or destroyed in a covered event.
Types of Renters Insurance
At Pentagon Insurance, we know that renters often have unique living agreements, which often include the presence of one or more roommates. If you share your rental unit with other tenants, we recommend that each person purchase rental insurance that covers their individual belongings. That renters insurance should include two primary types of coverage: personal property and liability.
Renter personal property insurance typically pays for the replacement or repair of your personal belongings when they are damaged by a covered event. Examples include fire, smoke damage, lightning, explosions, theft, and vandalism. Depending on the type of policy you select, your insurance may cover your belongings based on the cost to replace them or based on their depreciated actual cash value. It can even follow you outside the walls of your apartment. So if your bike is stolen off the rack at work, don’t panic; you are probably covered.
Keep in mind that personal property insurance typically covers the most common belongings, such as your pots and pans or your TV. If you own anything of high value, such as a high-end, vintage designer handbag, you will need to talk with your insurance agent about a policy rider that will cover it.
Liability is the other type of coverage on your renters insurance policy. When your roommate hosts a party over the weekend and your dog bites one of your guests, liability coverage can help pay the medical expenses and protect you against litigation and legal defense fees. Liability insurance typically extends to losses or bodily injury caused by you, your child, or your pet.
Renters Insurance in the Twin Cities
At Pentagon Insurance, we know how tempting it can be to forego renters insurance. Doing so, however, could leave you exposed to serious financial risk. Plain and simple, when it comes to renters insurance, there is no question of whether you need it – you do. At the average cost of a movie ticket each month, why leave yourself open to risk?
If you are a renter in Minnesota, we want to help you get the coverage you need. As an independent agency, we can provide you with renters insurance quotes from several of the state’s leading insurers. We will walk you through the process of getting coverage and understanding exactly what is in your policy. We can even help you save money by comparing rates or finding discounts that could lower the cost of coverage.
For more information about renter’s insurance or to request your free quote, contact our office today. We look forward to serving you soon.
