What is a Renter’s Insurance and Why do I need it?

Insurance acts as a financial safety net for any unexpected circumstances. There are different kinds of insurance, the most common are health and life insurances. But, if you are a tenant in a rental property, do you know that you can get a renter’s insurance? Renters insurance provides flexibility and security to tenants. It offers coverage against liability and medical claims, some living expenses and responsibility for maintenance repairs.

Why is Renter’s Insurance Important to you?

The basic coverage of a renter’s insurance is your personal property. This coverage is for protection of everything that you own that may break due to perils like fire, theft, and disasters like typhoons, hail, snow and many more.

Replacing the things you may have lost after a fire is very expensive and most people cannot afford to buy them anymore. A renter’s insurance offers replacement cost coverage of the amount you may need to replace the things you lost.

Some coverage also includes “Content Insurance Policy.” Apart from coverage of loss from your unit’s possessions like your TV, Computer or furniture, it can also cover things like lost items from your car as long as you register it under your name and at your address. If your car gets robbed overnight, you will get reimbursement for any items covered within your insurance.

You also get protection from liabilities due to accidents or property damage to another person. If you have a friend coming over to visit you and they accidentally trip or fall, get an injury from helping you in the kitchen or while having a nice barbeque party, having a renter’s insurance aids you in covering this. Medical payments insurance will protect you from small injuries. You may not have caused these to happen but it feels great when you know you protect everyone who visits your place from any small casualties.

If you may have caused harm to another person or damaged another’s property by accident, you get coverage as well. Liability insurance pays for the losses incurred when these happen so you don’t have to. This covers any legal payments if they decide to file a lawsuit as well.

One of the most important coverages of a renter’s insurance is Additional Living Expenses. This coverage helps you pay for a hotel stay and other expenses after an unexpected crisis like a fire, flood or structural damage happens. When these times of distress happen, you must have something you can rely on. This also covers damages that may not have happened within your property but in your neighborhood that requires you to vacate.

Is a Renter’s Insurance Required when Signing a Lease?

Landlords do not usually need their tenants to get a Renter’s Insurance before signing a lease. Only a small percentage of tenants have a renter’s insurance. Although it is not enforced, some properties and buildings require that a tenant has one. This is usually indicated in the contract so make sure to read the terms and conditions of your contract. If something unexpected happens and the property management’s company has limited coverage for your losses, a Renter’s Insurance can save you. You can expect your landlord to fix the leaks in your bathroom but you cannot expect that they will replace the damaged carpet or any other belongings due to the leak. 

It is a good decision to get a Renter’s Insurance for both the landlord and the tenant. Landlords are not responsible for any personal belongings. You are at ease when you have a renter’s insurance to cover for any losses.

How much does it cost?

Taking out a renter’s insurance is not something that will break your bank. The estimated monthly premium ranges from $15 to $30 per month. This depends on the coverage and any other additional riders you want to add-on. When you decide that you want a renter’s insurance, you should know how much liability coverage you want and how much personal property coverage you need. You also have to choose between the Actual Value or Replacement Value cost coverage. An actual value coverage will cover the value of your possessions when the damage or loss happened. A replacement cost will cover the price of the belonging you purchased at its original price. 

You should also consider your house’s location. Areas that are prone to extreme weather or high crime rates may cost a bit more.

Deductibles are a factor as well, you have to meet your deductibles first before your insurance kicks in. If you have spare cash that you can put towards your premium, it would help lower down your deductible.

Overall, taking out a renter’s insurance is not expensive but rather valuable. If you have extra coins that you just put away at the counter once you get home, save those every month and you can pay your monthly premium.

How can I get a Renter’s Insurance?

Once you have made your decision, found the best policy that will work for you, money-wise and coverage wise, then its time to sign up for your renter’s insurance. Find a company that is stable, known and has good reviews. The most important thing is that they have 24/7  great customer service and cater to your needs round the clock.

Conclusion

If you want affordable insurance that offers protection to your assets, your property and yourself, give us a call!

Green Ocean Property Management believes that tenants have to get protection from any unexpected incidents within the property. When tenants sign a lease with us, they get a Resident Benefits Package. Every tenant is additionally insured under Green Ocean Property Management’s Master Insurance Policy. We have benefits that will protect you against any unexpected liabilities and bodily injuries. We will also conduct Bi-annual home inspections to ensure your property is in good condition. This prevents any home damage from getting worse and getting it more expensive to repair. We have customer service available 24/7 for any maintenance calls and a website you can easily access for any maintenance request, payment options and view electronic statements.

Let us become your guarantee. Green Ocean Property Management offers a competitive renter’s insurance that fits your budget and your needs. We will protect you, your property and your belongings.

Reach us at  hello@grennoceanpm.com or call 617-487-4868. You may also visit our office at 268 Centre St Newton MA 02458 to get a quotation and find out what is the best coverage available for you or your property!