Shelling out extra money each month may seem like a waste of hard earned cash, but there are many benefits that are associated with having a renters insurance policy in place. Consider buying a policy whether you are renting an apartment, townhouse or home.
Benefits of Renters Insurance: Protection and Peace of Mind
Renters insurance protects the value of the physical contents of your home. If a fire burns up all of your belongings, you will receive a check for the replacement value of anything that was damaged or destroyed, including electronics. Likewise, if you are the unfortunate victim of a burglary, you will be reimbursed by your insurance company for the value of any items that were stolen. Contrary to popular belief, your landlord is not responsible for anything that happens to your personal belongings.
A renters insurance policy also provides you with personal liability protection. That means if a friend or family member is injured in your home and decides to sue you, you will be legally protected up to the pre-determined dollar amount you decided on when you bought your policy. This clause in the policy often covers costs incurred by legal defense representatives as well. You can rest assured that if an accident does happen in your home, your assets will be protected.
Benefits of Renters Insurance: Affordability
You can often find a policy with adequate coverage that costs less than a dollar per day. The average cost of a renters insurance policy is $10 to $20 per month. If you bundle your renters insurance policy with your auto insurance, you may receive an additional discount off the premium.
Benefits of Renters Insurance: Multiple Coverage Options
When shopping around for renters insurance, keep in mind that you determine the dollar amount you are insured for. The higher the coverage tier, the higher your monthly premium will be. Insurance companies have multiple coverage options available so you can find a policy that fits your needs and your budget.
If you take a moment and roughly estimate the value of your personal belongings, you may find that the relatively low monthly cost of renters insurance is worth paying for.