The Benefits Of Renter's Insurance

The American dream is all about owning a home, but many individuals are renters whether they like it or not. Some rent because they move around for work, and a good example of someone who might rent is a member of the military and their family. Others rent while they are building their dream home, after moving into a new city or town while they’re on the hunt for a home to buy, and if they’re in college and not looking to purchase a home right away. Renting is not uncommon, but many renters still wonder if renter’s insurance is worth the cost. Here’s what renters need to know before they decide either way on a rental insurance policy.

What Is Renter's Insurance?

The question many individuals have if they’ve never rented before is what is renter's insurance and how does it work? Renter’s insurance is a simple concept: it’s an insurance policy designed to protect renters and their belongings. Sometimes called tenant’s insurance, it’s an additional insurance policy to protect renters when the landlord’s insurance policy does not, as most landlords don’t cover the cost of replacing the renter’s belongings if a disaster occurs. The typical landlord carries insurance on their home or building, but they don’t pay to protect the cost of replacing everything inside the home that doesn’t belong to them. Renter’s insurance is a policy that helps renters protect and replace their belongings if a fire, theft, or other natural disaster occurs. Of course, not all policies are created equal, and it helps for renters to speak to their insurance agent to determine what their policy covers and what additions they might need.

Continue reading to learn about personal property when it comes to renter's insurance.