Renter's Insurance typically provides coverage, up to the limits you select, for specified items and situations, including:
• Personal property (furniture, electronics, computer equipment, clothing, etc.)
• Personal liability if someone is hurt, whether in your home or away from it
• Damage to your apartment or home caused by a covered loss
Imagine going to dinner or a special family get-together, and when you return home, you're greeted by the flashing lights
of police cars and fire trucks. Building fires and damage can happen anytime, anywhere, but with proper renters coverage,
your personal property inside your apartment will generally be covered if it’s affected by any of the following:
• Smoke damage
• Collapse of the building due to weather
• Water leakage or overflow
• Freezing of plumbing, air conditioning and more
Renters insurance will protect you from incidents that occur while you're at home, too, such as a toaster catching on fire or
a friend slipping and falling while visiting you. Renters insurance provides coverage for your own items, and it provides coverage for other people's injuries or damages in situations for which you're liable, as well.You can't rely on your landlord's insurance to cover your valuables — it only covers the building structure and not your personal property.Sometimes referred to as an HO4 policy, a renters policy can provide the financial protection you need in case your
possessions are destroyed or stolen, as well as liability protection if someone is hurt in your dwelling. Before you shop
for renters insurance, take an inventory of what you own to decide what level of coverage makes you comfortable. If you
live in a rented home or apartment, you may need to buy renter's insurance to cover your personal property in the event of
fire, theft, or other covered loss. Your landlord's insurance won´t pay to repair or replace your property.
Typically, renters insurance costs $30 or less per month, although you should expect to pay more if you have a lot of
expensive items. An "actual cash value" renters policy will pay for a property loss in the amount of the resale value of the
item at the time the loss occurred. In other words, if your two-year-old computer is damaged by water from a broken pipe,
the policy will only reimburse you for the value of a two-year-old computer -- not a new one. However a "replacement value policy" will reimburse you for the amount needed to purchase a new item of like kind and quality to the one that you need to replace. Replacement value policies cost more than actual cash value policies because they pay more for the losses you incur.
Renters insurance essentially covers everything a homeowners policy does, except for the value of the rented structure.
Many renters policies will pay for the cost of a place for you to stay temporarily if the damage to your property makes your home uninhabitable. A renters policy also protects you from legal liability in the event that someone has an accident and is injured on your property. In addition, many renters policies even cover property losses that occur off the rented premises,
up to a certain limit, such as lost luggage or a stolen camera on vacation.
If you're away at school, your personal property may be covered by your parent's or guardian's homeowners policy and you don't need a separate renters policy. Make sure your parents review their policy carefully to determine whether your property
is covered while you're living away from home and what the limit of the coverage is. It´s a good idea for them to check with their insurance agent to verify the coverage.
-HO2 – Broad Form Homeowner Policy
A more advanced form that provides coverage on a home against 17 listed perils (including all 11 on the HO1). The coverage
is usually a "named perils" policy, which lists the events that would be covered.
-HO3 – Special Form Homeowner Policy
The typical, most comprehensive form used for single-family homes. The policy provides "all risk" coverage on the home with some perils excluded, such as earthquake and flood. Contents are covered on a named peril basis. (Note: "All Risk" is poorly termed as it is essentially named exclusions (ie. if it is not specifically excluded, it is covered))
-HO4 – Renter's Insurance
The "Tenants" form is for renters. It covers personal property against the same perils as the contents portion of the HO2 or HO3. *An HO4 generally also includes liability coverage for personal injury or property damage inflicted on others.* Please check your policy to be certain of liability coverage.