More people are opting to rent than ever before, but one thing that many renters fail to consider is the importance of tenant insurance. Tenant insurance is important because it will cover you in the event of any accidental damage or unforeseen circumstances. Here are some of the most common reasons why people don’t have renters insurance, and why you really need it.
Don’t consider it
A majority of the rental market is young people fresh out of school. Renter’s insurance is not advertised as much as it should be, and many people don’t know about it in the first place. Of the people who do know about tenant insurance, many assume they are protected by their parent’s insurance or their landlord’s. The truth is that everyone that is renting needs tenant insurance because your landlord’s policy won’t cover your belongings and your parents’ plan may not cover you fully.
Don’t think they own very much
Being young doesn’t mean you don’t own anything of value. Your possessions really do add up and you’d be surprised to find out just how much you own. It would be a real shame if those Uggs and your new laptop got destroyed or stolen (less of a shame about the Uggs, but still). One thing to consider is that with renter’s insurance there are two types of replacements depending on your policy. Actual cost accounts for the lowered value of the item over time and adjusts the value according to depreciation. Replacement costs give the insured the cash value to replace the item for the full value at purchase.
Assume they are not responsible
Many people think that because they rent, they aren’t responsible for the property. You are still liable for any damage that is caused, even if you don’t own the unit. If someone gets injured in your place, or you cause damage to the building it is also your responsibility to pay for these damages. Tenant insurance will cover you in the event of this.
If you’re a renter, you should have tenant insurance. Hub makes it easy by providing affordable coverage for as low as $19 a month. Click here to find out how you can protect yourself and your stuff.