Facts about Renters Insurance

“What’s the point of renters insurance? I don’t own anything of crazy value.” This response is a common misconception when it comes to how the world views renters insurance.
Renters insurance is actually an essential (and inexpensive) tool in properly protecting not only your “stuff”, but other things too.

• Personal property- this is your “stuff”. Don’t think you have a lot to protect? Take a second and mentally take a personal property inventory, starting with the big-ticket items: your furniture, clothing, kitchen items, electronics, etc. Clothing alone will add up quickly when you add up all the items in your closet. Remember, when calculating your inventory don’t think about what Plato’s Closet would pay if you were to box everything up and take it in; think about how much you paid for the items new.
• Personal liability- this is protection against any liability or lawsuits filed against you. This could be something as simple as one of your friends injuring themselves while at your place for a party or your dog biting somebody.
• Loss of use- this covers temporary living expenses (lodging, food, etc.) when your place of residence is uninhabitable. An example would be pipes freeze and burst causing water damage to your unit. You have to vacate your place while a restoration company comes in to mitigate the water, a plumber repairs the pipes, etc. Renters insurance pays for your reasonable living expenses while you do not have access to your residence.
• Valuable articles- thinking of taking it to the next level with your significant other and purchasing some jewelry? Renters insurance can cover this by “scheduling” it. Doing so can guarantee the value of the item in the event of a loss. Be sure to ask your agent to ensure that it is covered for theft and mysterious disappearance (losing it), the two most common valuable article losses.

Other important things to consider:

• Living with a significant other, sibling or friend? Did you know that anyone living in the same residence can share a renter’s policy? This
  will likely provide cost savings versus having separate policies.
• If bundled with the same company, having renter’s insurance can provide a discount on your auto insurance and vise-versa. Win-win!

As you can see, renters insurance provides a range of coverages for a reasonable premium (the average premium is only about $10 per month!). As you set yourself up with a plan for financial success be sure that renters insurance is part of it.  ~ Logan Kirk

Logan Kirk