Who Needs This Insurance
Unfortunate events can and do happen to people every day, and buying insurance is a great way to protect yourself from financial loss when accidents and mishaps occur. Whether you are renting a condo, a single-family home, a townhouse or another type of residential unit, you should invest in a renters insurance policy. This is a type of policy that typically will provide you with coverage for losses related to your personal items inside your rental property, and some of these policies also have a liability component and a clause that will reimburse you for living expenses if you are displaced
Different Types of Coverage
Each type of renters insurance policy is unique with regards to the coverage, but most will reimburse you for events related to fire, theft or other types of destruction. Most of the items that you own may be inside your rental unit, and these items can be destroyed, stolen or otherwise damaged. Such events may result in thousands or even tens of thousands of dollars of financial loss to you, but renters coverage can reimburse you for your loss.
You may also be held liable for some events that occur on the property, including if a friend slips and falls, if your dog bites someone and more. Liability coverage from your renters policy may pay for everything from medical expenses to court costs if you are sued as a result of the event.
In some cases, you may have to relocate temporarily or permanently as a result of a fire, flood or other event, and this can create a financial burden on you. If your policy has a living expenses clause, you can be reimbursed for hotel bills, restaurant bills, moving costs and other expenses you may incur as a result of being displaced.
Some landlords may require tenants to purchase this type of policy, but even if it is not required as part of your lease terms, there are benefits associated with purchasing it. This is a great way to minimize your financial loss if something does happen to or in your rental space.