Author Bio: This article is written by Charles Henry of http://www.rentersinsurance.net/.
If you are entering into a new property rental lease, or perhaps have been renting for a while without insurance, you may think that getting a renters’ insurance policy is unnecessary for you, or at least a very low financial priority. Perhaps you don’t consider your possessions to be all that valuable, and aren’t sure it is worth paying a monthly premium just in case anything happens to them. However, renters’ insurance can be highly beneficial to just about all people renting houses or apartments, and doesn’t just cover the contents of your home. Here we take a look at seven reasons why you need renters’ insurance:
1 – Replacing even your essentials after an emergency can run to a lot of money
While you may not think you have anything especially valuable, could you afford to buy all new furniture, a new computer, a new TV, new kitchenware and a new wardrobe all at once? While you may not own anything all that expensive on its own, if an emergency wiped out all of your stuff, leaving you with nothing, in an uninsured situation that is what you would be looking at.
2 – Insurance can cover even minor losses
Insurance doesn’t just have to come into play if you lose a lot of the things you own in a major incident like a fire or flood – it can also help with more minor losses. Say a problem causes your freezer to stop working and all of the food you had stored in there became unusable – certain policies will cover this.
3 – Most people have at least a few valuables
How a valuable is defined is different for everybody. Sure, you may not have a bunch of diamond tiaras or priceless works of art, but in line with your standard of living, something like a games console, a designer purse or even your widescreen TV can be a valuable to you, and you will definitely want to know it is protected.
4 – It can protect you from unscrupulous landlords
If your landlord claims damage has been done to the property, and tries to take this out of your security deposit, your insurance may protect you. Accidents can happen and wear and tear on the property and its inventory are inevitable, but if you are insured you don’t need to worry about these things costing you dearly when you move out.
5 – It can cover your liability if anything happens to a third party on the premises
In certain legal situations, you may be considered liable if something happens to somebody while they are on the premises you are renting. As you might imagine, this can end up being extremely expensive, as you may have to pay compensation including hospital bills and more. Renters’ insurance will cover your liability.
6 – It can cover your belongings even when they aren’t in your home
Some policies will cover your belongings even when they aren’t at the insured address. This means that if you get mugged on the street, or items belonging to you get damaged while traveling, for example, you can still claim on your insurance.
7 – If you need to stay in a hotel because your home is uninhabitable, your insurer will pay
Another thing your insurance will cover is accommodation for you if your home becomes uninhabitable, for example after an emergency, or because of other problems with the building. Even if you just need somewhere to stay for a few days for building fumigation, this can end up being an expensive, unplanned cost, so this is one area where insurance can save you a lot of money.