Regardless of whether you are renting an apartment, a condo, a home or another type of dwelling, it is important that you plan ahead for potential risks and damaging events. For example, your rented residence could be destroyed by a fire, a major storm or something else. It could also be affected by theft, vandalism and other criminal activities. One of the primary ways to protect yourself against financial loss related to these or other types of serious events is to buy renters insurance. Keep in mind that some landlords require tenants to purchase a minimum amount of coverage through this type of policy. Even without this requirement, however, it makes sense to obtain this type of coverage.
Renters insurance also usually covers contents inside the residence. For example, if the structure was damaged by a fire, there is a good chance that your furniture, appliances, electronics, clothing and other personal items have also been damaged or destroyed. Your renter’s coverage may pay to replace all destroyed items. Fire is not the only type of loss event that may be covered. For example, your contents could be stolen by theft, damaged in a bad weather event and more. When you buy renter’s coverage, carefully review the types of damage that are covered. In addition, select a coverage limit that is suitable for the value of the contents in your rented space. After you purchase your coverage, ensure that you document the contents in home by taking photos or creating a video. This should be completed before you need to file a claim.
Any time you file a claim against your renter’s policy, you must pay your deductible. You can set your own deductible amount within reason when you buy your coverage. Remember that your policy only pays benefits up to the limits that you have selected. If you want to reduce the risk of having to pay additional costs out of your own funds, choosing higher limits may be a smart idea. If your landlord has requirements, you must at least buy coverage that complies with these requirements for renter’s coverage.