Insurance 101 for People Renting Property
When you rent property, you must have insurance. Even if you do not think you have anything of value, chances are you probably do. You might not be able to replace these valuables if your place is burglarized or if your property ends up on fire. You might be the most careful person in the world, but accidents do happen, and they can happen at the most inopportune of times.
You cannot control other people and their actions. Although your landlord might have his or her very own insurance plan, their insurance may not cover the building itself and the possessions you have in your apartment. If somebody visits you and gets injured, you could end up getting sued, and you could end up paying a lot of money in damages.
Fortunately, there is a way for renters to protect themselves from these unfortunate situations, and that is by getting insurance. Insurance for renters is one of the most affordable and easiest kinds to get. With some companies, you only pay as little as $20 a month. It is, indeed, a small price to pay for peace of mind.
Understanding the insurance
Before you spend your money on renters insurance, you must know all about it and understand it thoroughly. Understand what you are applying for, and if you have questions you should ask them before you sign on the dotted line.
Basically, the insurance covers all the contents in your apartment. Some policies might also even cover the contents of your car and your luggage when you are traveling. It is necessary to be aware that there are different policies available to you, but they differ from another not only in terms of price but also by the things they cover. Some, of course, have more extensive coverage than others.
Assess your needs
In order to find the most suitable insurance plan, you need to ask yourself what you really need. Take a photograph or a video of the place you are renting. Write down whatever expensive items you have which you cannot replace should something bad happen. Jot down their serial numbers, which you may need if you make a claim, as well as their value. This will help you get a more accurate picture of how much your valuables are worth, and the documentation you have will be indispensable should you ever need to file a claim. Make sure that you put your documents in a safe place.
Choose a company
There are many insurance companies vying for your attention today, and you need to choose the right one. Research all local insurance companies in your state and what they have to offer. You can also ask your friends and family for their recommendations. If you have other existing policies with the same company, do not forget to tell them. Most companies will give you a bit of a discount when you have two or more policies with them. Investigate your options thoroughly so that you can get the best deal possible.
Image Credit: James Thompson