Landlords carry commercial property insurance to protect them from loss in the event of a covered disaster, such as a fire or explosion. But this coverage only protects the building structure and the landlord, not your belongings when you rent a house, apartment or flat. Tenant insurance can help replace your personal items lost in a disaster.
What does tenant insurance cover? Named hazards usually include:
- Smoke damage
- Plumbing problems
- Electrical fault
- Lightning damage
- Windstorms or 1965
- Damage to vehicles or aircraft
Loss of use
If your home becomes uninhabitable due to a covered hazard, you need a place to live while repairs are made. Many tenant insurance policies will provide money for temporary housing. This coverage will be listed specifically if it is included in your policy. You can also have coverage under your rental insurance for your luggage and the contents of your vehicle when you travel.
Most tenants' insurance provides some liability insurance. This protects you from litigation if someone is injured or gets other injuries in your home. It covers your legal costs and any court decisions or settlements within the insurance limits.
What is not covered by tenant insurance?
A tenant's insurance can provide protection against covered hazards, but not all disasters are covered. The typical policy does not protect you in the event of wastewater, floods, earthquakes or other natural acts. If your belongings include sophisticated items, such as fine jewelry, antiques, art collections or expensive instruments or equipment, you may want to purchase separate riders or policies. Our friendly agent will be happy to advise you. The tenant insurance does not cover your belongings for damages caused by your own negligence or intentional acts.
How much tenant insurance do you need?
Most people do not realize the full value of their belongings. The first step in assessing your tenant insurance needs is to list your belongings, with an estimated value for each item. The total value gives you an idea of how much coverage you need. You may want to create a spreadsheet for this purpose.
It's a good idea to film everything you own and record the serial numbers for the more expensive items, if you need to make a claim in the future. Keep this inventory in a safe, with a friend or family member, and save in the cloud to ensure it is not destroyed by a fire or other disaster in a rented home. You can attach the inventory to an email that you send to yourself to download later if needed.
How much does the tenant cost insurance?
Your tenants insurance premiums can depend on several factors, including where you live, the amount of coverage you need and the insurance company you choose. Our knowledgeable agent can help you find the tenant's insurance coverage you need at the best available rates.