4 Common Renters Insurance Myths

Renters insurance is a must-have for all renters. The problem is that many people are confused about whether they need insurance due to misinformation. Are these 4 common myths stopping you from buying renters insurance?

1. Your Need to Own Big Ticket Items

Many people are under the impression that you need to own a lot of stuff before it’s worth buying insurance. You might look at your things and think that it’s worth little, or that you could easily replace everything your own at a yard sale. There are liability issues to consider when buying renters insurance that will be addressed below, but you may own a lot more than you think.

Go around your apartment and try to total the replacement value of all of your belongings. You may be looking at several hundred or several thousand dollars to replace all that you have. Rather than try to come up with that overnight if you’re robbed or if your place catches fire, you can replace your items if you have tenant insurance coverage.

2. Your Landlord Has You Covered

It’s true that your landlord has insurance, but it doesn’t cover you. Their insurance policy takes care of the building’s structure and major appliances. If your belongings get stolen or suffer damage, your landlord’s policy will not replace them. You need your own renters insurance in those scenarios. Your landlord’s insurance does not protect you against liability, either.

For example, if you have a visitor who slips on your area rug, you cannot rely on your landlord’s policy to pay for medical expenses. You’ll have to pay all expenses yourself if you don’t buy liability protection through your renters insurance.

3. It’s Not Affordable

Insurance can be expensive these days, but not renters insurance. It’s usually the most affordable insurance that renters own. Insurance premiums can be as low as $9 per month. When you consider the protection you get from legal and other costs if accidents happen in your apartment, it’s worth buying. You should still shop around and compare prices with several reputable insurance companies.

Start with your car insurance company, because they will offer you a discount on the car insurance or renters insurance if you carry both policies with them. Most companies will give you a free quote. Compare three or more to find the best deal possible.

4. It’s Limited to Fire Damage

Renters insurance covers theft, water damage and natural disasters. You’re even covered if lightning strikes and destroys your computer or other appliances. You’re not just limited to fire damage. It’s important to keep this in mind because there are many reasons why you may need to replace your things in a short amount of time.

It’s not too late to get the protection you need if you’ve bought into any of these myths. Buying renters insurance is simple and can be done over the telephone. It’s worth getting covered to avoid some financial and legal headaches down the road.