Renter's Insurance

Accidents happen! Renters insurance protects you and your personal possessions in the event of a fire, theft, or other incident. Most renters insurance policies will include protection for both personal property as well as personal liability. Your best bet is to choose a policy that includes both protections. 

Why get it?

Many renters think their landlord’s insurance policy will cover their personal property, should something happen. This is often not the case. If one of your neighbors does something to cause damage to your personal property, the landlord is not required to cover you under their insurance. A few years ago, an apartment building completely burned to the ground due to an unattended charcoal grill. Of the 40 people who lost all of their possessions, only 2 of them had renters insurance.

How much should you get?

Most policies start at $5,000 worth of coverage for your personal possessions. However, you should make a list of the replacement cost of your property to see if a higher policy limit is right for you. Once you add in your computers, stereo, television, cell phone, clothes, etc., you may find that you have far exceeded the $5,000 basic policy. As for personal liability, most basic policies will include $100,000 in coverage.

How much does it cost?

Renters insurance is surprisingly inexpensive. Basic policies start around $7 to $8 a month. Upgraded polices may run from $10 to $14 per month. 

Where can you get it?

You can obtain renters insurance through most major insurance carriers and even some credit unions. You may also be able to bundle a policy through your parents' home owner’s insurance and receive an additional discount.

This article was created by a collaborative group of attorneys, landlords, students, and public officials and was originally published on the Model Lease Project website at lionslease.com.