Home Insurance

The advantages and disadvantages of renters insurance

When you rent a house or apartment, the landlord has already taken an insurance policy that covers your property. However, if you want coverage for your personal possessions need renters insurance. While some owners require tenants to buy renters insurance, many allow tenants to decide for themselves. Renters must weigh the risk of loss of the property against the cost of insurance to make this decision.

One of the biggest disadvantages of renters insurance is the fact that it represents an additional cost to tenants. When a tenant moves into a new rental unit, the cost of rent and a security deposit accounts join commissioning of utility moving costs and the price of the furniture . Renters insurance is another cost to bear. You also need to compare rates to find the best price, which can be time consuming. For budget-conscious tenants, renters insurance can be among the considered non-essential expenses.

renters insurance

Renters insurance provides valuable protection for a tenant whose landlord has an insurance policy that only covers the rental unit and provide liability protection in case of an injury to property. Some rental units have security systems and entrance, but others are less sure. Large units with many tenants exposed to potential theft or vandalism. Other risks include a rental unit damage caused by other tenants of the building, such as starting a fire due to negligence or water damage affects the unit below. You may not have any way to prevent such losses occur, but renters insurance will pay for damages to your property.


Although renters insurance adds a cost to the budget of a tenant, also usually has the advantage of flexible options that allow tenants to find the coverage they can afford. Visit and get renters insurance quotes from a number of companies can lead to a balance of coverage and cost. According to the financial website Bankrate.com, an insurance policy for minimum tenants can cost as little as 50 cents per day. The renters insurance policies allow tenants to secure their property either by its full replacement cost or depreciated cash value, which provides another option to customize the coverage and save money.

Coverage limits
The coverage is limited downside to some renters insurance policies. Tenants who purchase a coverage minimum to save money on insurance premiums can find renters insurance will only pay to replace a portion of your property, up to the limits of the policy, in case of total loss, such as a major fire. Renters insurance also protects the car, so that tenants need insurance if adequate car park on site. In addition, renters insurance generally does not cover business activities, which means that if you manage a small business in your home you may not be rented for losses covered business after a disaster.