Benefits of Renter's Insurance

        Indiana may not have a federal law to require renter’s insurance and at Berkshire Hathaway HomeServices Newlin-Miller, we don’t require it either; however, we do encourage it. Landlords will have property insurance on the building but that leaves your personal belongings and liabilities at risk. Here are some benefits of renter's insurance and why it’s important to invest in it.

• Renter’s insurance policies cover the loss of personal property. This includes clothing, jewelry, electronics and furniture. Loss of personal property, in most policies, is covered under fire, smoke, lightning, theft, water damage (burst pipes/water leaks), wind/hail damage and vandalism. Always check with your insurance representative to see what perils are covered.
• Renter’s insurance policies also provide liability coverage. Meaning, if someone is injured in your house or apartment, you have financial backup. If you are found at fault for an incident, liability protects you and your finances. It may also help pay for any property damage or medical bills that arise from the incident.  (Ex: someone slips and falls in your apartment or your tub overflows in the unit below you)
• Depending on your policy, renter’s insurance can help cover the cost of living somewhere else if your place is ruined due to a covered peril. For example, if you are renting a house that catches fire, your policy could help pay for temporary accommodations and food. Make sure to ask your insurance representative about covering “additional living expenses”.
• Renter’s insurance is probably cheaper than you think. According to Nationwide Insurance, the average cost per month is $15-$20. Of course, there are factors that weigh in such as your location, your insurance provider, how much coverage is needed, types of coverage and the amount of your deductible.

Somethings to remember:

• Your policy only covers you. If you have a roommate, they would need their own insurance policy to cover their items.
• Most standard policies don’t cover natural disasters like earthquakes and floods. You would need to discuss other options and add-ons with your insurance company.
• Always make sure you know what perils are covered with your policy. Depending on your location, these can vary.
• Pure negligence, intentional actions and basic wear and tear aren’t covered.

If you have more questions or need more information, make sure to contact your insurance provider and discuss your options with an insurance professional.