In basic terms, a renters insurance policy is an accumulation of insurance coverages with the purpose of protecting renters of a house or an apartment. Let us examine what is usually covered in a renter insurance plan.
What Is Covered?
Renters insurance is there in the case of events that cannot be expected or cannot be prevented, for example, a break-in, a theft, or an injury to a visitor and this can fall into the following categories.
The cost to replace or repair your belongings, like furniture, electronics and clothing to the amount limited by the policy.
This covers repair costs when you damage someone’s property or if you are found to be responsible for their injuries, the medical bills of a guest.
If your house or apartment is damaged and can no longer be lived in, this will cover costs like hotel bills.
The following is usually not covered: Liability protection and loss of personal property that exceeds the limits of the policy as well as structural damage to the building you are renting.
Personal Property Coverage And Renters Insurance
When your possessions are destroyed or damaged in an unexpected manner, it is covered by personal property coverage. This would include fire damage. However, it is important to realize the coverage will have a dollar limit that applies.
Some renters insurance includes coverage for personal property that can be used when your goods have been stolen. This normally applies following a burglary at your property or for example, when stolen from your vehicle. There is normally a deductible that has to be met before this aspect of the overage kicks in.
What Value of Personal Property Coverage?
Here are some things you need to consider when weighing up the coverage levels of personal property coverage.
- Make a list of everything you own and an estimated dollar amount to help determine the level of personal property coverage you will need.
- Cash value protection offers coverage normally up to the current market value of the product.
- Replacement cost coverage will assist in replacing your goods at the current retail value.
Property That May Not Be Covered
If you have some high dollar items like a coin collection or jewelry may not be fully covered and will require you to add supplementary coverage, known as scheduled personal property coverage.
Renters Liability Coverage
Usually included in a standard rental insurance policy. This may mean you will be precluded from having to pay out of pocket expenses if it is established you are responsible for damage to others property or injuries caused to other people.
Additional Living Expenses
Normally included with renters insurance is coverage for additional living expenses you may encounter if you cannot live at your rented property following a loss that is covered. It may include added expenses for food and bills for hotels and lodging. Your policy will state the terms and conditions of coverage.
Filing a Rental Insurance Claim
When filing a claim keep the following in mind, though it is important to realize the processing of claims can vary:
- It is important to get in touch with your insurance agent as early as possible to report a claim.
- Make sure your other items cannot be damaged further. Discuss emergency repairs that are required.
- You and your agent can ask questions and get answers as to the way forward.
- You can discuss the limit and coverage of the policy and your agent can assist you in comprehending what will be covered under the plan.
In many cases you will have to pay a deductible before any coverage kicks in. Remember in most cases the lower the premium, the higher the deductible will be. This of course can change depending on the amount and terms of coverage you want to have. It is important to recall coverage does not conventionally apply to the actual building – that is the purview of Landlord Insurance. While as the renter, you take on the responsibility of the goods inside the property. Likewise, Landlords insurance does not normally include liability protection for the renter, just the landlord.
Renters Insurance in Scottsdale
Renters insurance in Scottsdale is a group of coverages to protect renters living in an apartment or home. Renters insurance typically includes coverage to protect you, your belongings inside the residence, and any living arrangement costs after a covered loss.