Renters insurance is for anyone who lives in an apartment, condominium or home that is rented. Even though landlords are required to carry insurance on the properties they own, that insurance does not cover the belongings and liability issues that can occur in your personal rented space.
When you purchase a renter’s policy, it works similarly to the way homeowner’s insurance does, in that you file a claim for any loss that occurs. At the minimum, this type of insurance covers your personal property such as clothing, furniture, electronics, bicycles, computers, etc. Your policy may also cover losses from weather events such as storms, wind, hail, lightning, freezing, weight of ice, snow or sleet, plus fire-related damages. Coverage also extends to events that are not weather-related such as theft and vandalism, vehicles and aircraft and fire.
One of the perks of renters insurance is if your space becomes uninhabitable because of a mishap, your policy will pay for your living costs in a hotel or elsewhere. These living expenses typically include the cost of food and other essentials.
Some policies provide liability protection, which can help protect you financially if someone sues you for an injury that occurs on the property where you live. Guest medical coverage is similar as it provides for protection from medical expenses from injuries incurred on the property.
When purchasing this type of insurance, renters can also ask for riders, similar to what homeowners can get on their policies, to protect personal articles that are high-priced such as jewelry, collectibles, art work and other items that would normally not be covered under a regular policy. Other special provisions may also include flood insurance, protection from damage incurred by hurricanes, extended theft coverage and full replacement cost for new items.