If you rent or lease your living space, you want to be sure that you have renters insurance. Even though your landlord most likely has insurance on the apartment, townhouse, or other building you live in, this insurance will not cover your personal property that is in the building. This means that if something happens, such as a fire, theft, or something else, you could lose everything. That is why you need to purchase renters insurance to cover your belongings, so that you will not lose everything.
A standard renters insurance policy will protect against sixteen different kinds of events that may occur. These events include:
Falling trees or other objects
Ice or snow damage
If you live in an earthquake or flood prone area, you want to be sure that you get additional policies for these events as well. A normal insurance policy will not cover these two events, but the additional coverage normally will not cost too much to add to your standard policy.
When choosing your renters insurance, you have two main types. You can get a policy that will pay the actual cash value of an object or the replacement cost. This is a very important thing to understand, as actual cash value will be based on what the object was worth when it was damaged or lost, while replacement cost coverage will offer an amount enough to replace the item with a newer one.
By taking an inventory of your items, you can ensure that you choose the right renters insurance policy to replace your belongings. By paying your monthly or annual premium, you have this protection and can make sure that you can restart if you need to. These premiums are very affordable, which means that most renters can afford them and can get the protection that they offer.