Complete Guide To Renter’s Insurance

Have you rented a new home in NYC, have exhausted all of your resources, and now planning to skip renter’s insurance? You could be right as it involves capital to seek renter’s insurance but knowing the benefits of renter’s insurance might make you change your decision.

We collect our home stuff over time and spend a lot of capital on it. So if you get to know that you have lost it all in a single installment, it would be harder to process for you. Renter’s insurance protects your belongings and provides you with a safety check.

As a piece of information, the landlord’s insurance does not cover the belongings of the tenant instead it covers the structure of the building alone. So you would never be safe even if the apartment is under the landlord’s insurance.

What is Renter’s Insurance?

Renter’s insurance is a kind of property insurance that covers any damage to the belongings in a rented apartment. The damage may happen due to various reasons such as theft, accident, burglary or fire, etc. No matter how diligent you are in looking after your household items but there is always room for human error. Or it might be due to some other person such as your neighbor or a guest.

Bear in mind that if there is damage due to the structure of the building or to the structure of the building then it falls under the landlord’s insurance.

Read Also: Landlord Insurance for Rental Property – A Useful Guide

How does it Work?

There are various companies offering renter’s insurance. What you need to do is to take their plans which will come in different packages. You need to figure out what suits you better. One more tip would be to take quotes from different companies and draw their comparisons. Then what you find more befitting, take that plan.

Get to know the detail of the package and how much would you get in return if you ever have to pursue the losses. Usually, they offer two types of coverage. One, where you get the amount equal to the current worth of that item, second, they offer you the amount to replace the item lost or damaged.

Get a Recommendation from Friend and Family:

If you do not have a personal experience of getting renter’s insurance, instead of approaching insurance companies directly try to find out of any of your friend or family member who has ever taken renter’s insurance. They are likely to tell you how you can adjust your plan within your budget and which is a reliable company and not a scam.

New York Renter’s Insurance Coverage Package:

You are likely to find the following general packages until you do not customize the whole deal.

• Legal Coverage:

It covers the legal cost if someone has inflicted injury at your place. You may customize the liability limit according to your wish.

• Health Coverage:

It covers the medical expenses if someone is injured at your place. You may set the limit as to how much you want it to cover.

• Living Expenses Coverage:

It would cover the cost if you have to rent a new place due to any disorder in the house.

• Property Coverage:

It is the most basic and befitting coverage. It is likely to protect you from losing your belongings. Sometimes companies do not accommodate the losses incurred due to natural disasters but some others do provide this option as well.

What is included in Renter’s Insurance?

From a general understanding, the following are the causes that mostly cause damages and in case of any damage because of them, the company accommodates the losses.

• Fire
• Lighting
• Falling objects
• Electrical failure
• Smoke
• Burglary
• Windstorm
• Plumbing issues

What it Does Not Cover?

You would have a fair idea of what falls under the scope of renter’s insurance, let us discuss what it does not include to let you see the big picture.

• It does not include an expensive and antique collection at your place. Jewelry does not come under the basic package. You have to buy this feature with extra money.
• It does not include belongings you have at another place such as your business office.
• It does not include your vehicles in the renter’s insurance.

Do you need renter’s insurance to rent an apartment in NYC?

The simple answer is, no. you do not need to have renter’s insurance as a basic requirement to qualify yourself for the desired home.

Though, it is advised to have it to give you a sense of security. It goes in your best interest to have your belongings covered with an insurance plan that fits your budget. However, there are a few exceptions where some landlords or management companies do ask to get your renter’s insurance.

Final Takeaways:

Usually, we end up skipping insurance and pin our hopes against the odds. In truth, you never know what’s coming your way? So instead of trying to save a few dollars, keeping it safe is a lot better option. Renter’s insurance provides you with the required safety and peace. Have a safe life, while you have it.