Understand why you need renters insurance

You may have moved out of your parents’ house into an apartment, or you may have recently graduated from school getting your own place for the first time, or you may have decided to rent a house instead of owning it. You have a lot of items on your “to do” list and getting renters insurance may not be a high priority. Many people don’t feel they need this type of insurance because they don’t have “much” or feel they have nothing to lose. There are several good reasons why you really need this type of coverage.

There are two main coverages provided by a renters policy (also known as renters insurance). for your personal belongings. Most people don’t realize how much they own. If you had to replace everything you own, every piece of technology, clothing, furniture, sports equipment, etc.; could create a financial hardship that would take time to recover from.

The other coverage that is even more critical is your personal liability. Here are some important considerations that you may not currently understand about this coverage:

· What happens when you play sports and accidentally hit another person with a baseball or golf ball, etc. Who do you think will pay for the medical expenses and lost income, for example, of that person? What if you’re taking an airline flight and accidentally hit someone with your carry-on while taking it out of the overhead bin? His first thought may be: “Let me be sued, I don’t own anything!” There are a couple of problems with that thought process. First, it’s just morally wrong, and second, it’s not just your current assets at risk. His future salaries could also be at risk. If you were sued, could you afford to defend yourself and pay the judgment that might follow?

Another issue you may not have considered is causing damage to your owners’ property. We all do things unintentionally. You could leave a stove burner on, leave candles burning that you forget, or let the water run in the bathtub while you answer the phone. Damage to your unit or units above and below you caused by your negligence could be your responsibility.

· Most people may not have had experience with a loss or just don’t believe it will happen to them. Unfortunately, it happens all the time! I remember a renters policy loss where tenants left candles burning and caused millions upon thousands of dollars to the house they were renting.

Most insurance companies offer discounts for having multiple policies with the same company. You may also qualify for a discount on your auto insurance. The cost of renters insurance is probably a lot less than you think! Contact a good independent insurance agent to find you the best coverage appropriate for your situation, giving you the best value for your premium.