5 Reasons to Get Renters Insurance

No matter what type of renter you are — a Fitchburg State college student living off campus, a young professional working in Boston, or an empty nester downsizing your Westminster home — you should consider getting a renters insurance policy.

Unsure why you should? Renters insurance includes coverage for most of your personal belongings, liability insurance that could cover most bodily injury and property damage, and, in the event you’re displaced, renters insurance should provide funds for temporary housing.

Here in Leominster, MA, we have experienced several severely damaging fires at apartment complexes over the last two years. Just this past August 2019, an electrical fire in an apartment on Lorchris street lit a woman’s basement apartment on fire. The fire was contained to one bedroom, but the tenant was displaced while the apartment was fixed. Renters Insurance should cover temporary housing in that instance. And in 2018, an even worse two-alarm apartment fire burned through much of a Lincoln Terrace apartment building, causing six residents to be displaced.

Instances such as these are often caused by accidents that lead to serious damage — in all of these cases, if the tenants didn’t have renters insurance, they’d be left high and dry and have to foot the bills for replacement belongings and temporary residences. Renters insurance can be a valuable and affordable investment during such difficult times. For as little as $15-20 per month, renters insurance may cover the replacement of damaged belongings due to a fire, water leak, or other covered peril, plus temporary housing.

Still not convinced? Keep reading as we expand upon our top five reasons to get renters insurance.

1. Renters Insurance covers you from accidents and unexpected damage

We’ve all been there — wondering if all of the candles in our apartment are blown out, if the windows are closed and locked, or if extreme weather could negatively impact our home. But whether it is in our control or not, accidents can happen. A fire could sweep through an entire apartment complex, a neighborhood could be burglarized, or a severe thunder and lightning storm could roar through North Central Massachusetts. In any case, it is essential to cover yourself and your belongings.

A common misconception is that if you are renting, your landlord is responsible for insuring your apartment. It is true that they are required to cover the building structure itself, however it is up to you to ensure that your personal property is covered and that you will be able to protect yourself in the event of an accident. That’s where renters insurance has you covered.

2. Renters Insurance covers losses to personal property

Renters insurance will provide coverage for most of your possessions if they are destroyed by fire, smoke, lightning, vandalism, theft, windstorm, burst pipes, falling objects like trees, and any other peril listed by your insurance company in your policy. Even gifts that you’ve bought but haven’t delivered yet and borrowed items are typically covered under a standard renters policy.

3. Renters Insurance includes liability coverage

Liability, which provides you with financial protection against lawsuits for bodily injury or property damage that you, a family member, or a pet cause to another person, is also typically included in your renters insurance policy. This portion of your policy covers both the cost of defending yourself in court and any court awards, up to the limit of the policy.

4. Renters Insurance protects you and your belongings when you are not home

Renters insurance also provides off-premises coverage, which means that your belongings outside of your home may also be covered against the same disasters listed in your policy, including belongings stolen while you’re traveling, up to the limit of the policy.

In the event that you are displaced from your home, your policy also includes Additional Living Expenses (ALE). This coverage may reimburse you for expenses that you incur if you have to move out of your apartment after a disaster. Let’s say for example your building needs to be fumigated, leaving you temporarily displaced with a number of accommodation-related expenses — hotel bills, storage costs, restaurant meals, pet boarding, and other expenses that are over and above your normal living expenses are typically covered.

5. Renters Insurance is surprisingly affordable

Many people are surprised that renters insurance covers all of this. Even more unexpected is how affordable this broad coverage can be. The average cost of renters insurance is about $15-20 per month. Plus, there are several ways to save even more on renters insurance. For example, you can get a discount of up to 20% for bundling your renters insurance and auto insurance policies with the same carrier.

If you’ve been renting but haven’t bothered to get renters insurance yet, or if you did get a policy but you’re not confident it’s the best coverage or competitively priced, then it’s time to work with the ABM team. We will gladly review your current policy and/or get you a quote for a new one, to ensure that you are not putting all of your stuff — and your hard-earned money — at risk. Contact ABM today for help protecting the most important things and people in your life.