Renters Insurance

If you are most renters, you are probably one of those asking “why bother get a renters insurance when … your alibis here …?” Well, sure you may be renting the best, the newest, the most secure apartment in your town, but your chances of not meeting perils like fire, earthquake, crashing plane or the even the most unlikely bathtub flooding are not guaranteed. Now before you start getting frantic, here is a list of common fallacies about renters insurance not to prove you wrong, but to prove that you definitely need one.

Fallacy No. 1 – My Place Is Covered By My Landlord’s Insurance

Sure it is. But it can only go that far. See, most landlord insurance only covers the damage to the structure of the building and not on what’s inside. If the apartment, say for example is blown up by policy approved perils, collapses due to earthquake or suicidal terrorist planes, renters insurance will only pay for the reconstruction or repair. Landlords insurance will not pay for charred TV, burnt personal computer or your grandma’s lost treasured jewelries. Even renter-caused damages such as bathtub flooding are not covered.

Fallacy No. 2 – Renters Insurance Are Expensive, My Paycheck Is Not Enough?

The first solution to this is to go find another well-paying job. Yet with an ordinary paying job, a renter insurance costing $10 or $20 is not that really much. To be more realistic, recent quotes from a couple of big time tenant insurers provided affordable rates of around $12 a month and another $16 to $17 a month. Both of these actual quotes apply to common apartment renters in major cities in the United States. Provided that you have installed smoke detectors, security systems and fire extinguishers, you will certainly get lower rates. To get more replacement of cost coverage from your renters insurance, you will have to opt for higher deductible. What’s great is that the replacement cost coverage is based on the recent value of the items that are lost and is not based on the purchasing value.

Fallacy No. 3 – I Don’t Think I Should Worry About Accidents, Our Building Is Unbreakable

Oh yeah, just like how the captain thought about his unsinkable Titanic. Apartment renters insurance does not limit its coverage on on-premise perils and theft. It also takes responsibility for your hard-to-replace valuables, for example, if you are out on a business trip or a summer vacation and your items are stolen, you will likely get some coverage. It even covers injuries of your family members in case they slipped or sprained an ankle during special occasions.

Fallacy No. 4 – I Don’t Have A Gold Bar At My Place. Do I Need To Insure My Rugs?

You may take this seriously or not. But try summing up all your items’ worth at home and you’ll be astonished at how your CDs, your books, your kitchen wares and the rugs can total to a whopping worth of home property. The State Farm Company says that a home owner can have as much as $20,000 worth of home items. Seriously though, your rugs may not really be covered but look at how much you’ve spent on your place.

If you are serious about renters insurance, there is always a better way for things. Consider the personal property type of renter insurance coverage. The policies differ from state to state or insurer to insure. But you get the idea, getting renters insurance is protection for your properties. Think about your books, clothings, China glass wares, sports gears, furniture, microwave oven, digital camera, DVD, CD and home entertainment appliances. You can’t afford to lose them in a blink of an eye, can you?