Most people know that their landlord’s home insurance doesn’t cover their personal belongings in their home. Tenants, however, do have the right to protect their belongings if they have tenants who rent out their homes. For most tenants, protecting their personal possessions is something that they don’t feel comfortable doing. However, if you are a tenant with valuables, then it is imperative for you to protect it. In order to do so, here are some simple tips to keep in mind:
First of all, when you are looking through your apartment complex or house insurance policy, check to see what type of coverage is offered with your renters insurance. Generally, most insurance companies will only cover your home insurance and nothing more. To be completely covered in case of a loss, tenants must also insure their personal belongings against burglary, fire and vandalism. Tenant home insurance coverage can vary in price but it is always worth it to make sure that you have adequate coverage. It is okay to ask for a discount from your insurance companies.
Another thing to keep in mind when searching for your tenant home insurance is to inquire about all of the options that are available. There are many different coverage policies that can be purchased which include insurance on the contents of your rental unit, the building itself as well as personal property (if you have any). In addition to this, some insurance companies will even give you a discount if you purchase more than one policy from them.
One item to look for with your tenant home insurance policy is to make sure that it gives you the option of replacing or repairing your rental unit if it is damaged due to water damage. A lot of times when renters experience water damage to their apartment due to flooding, they have to replace everything. A good tenant home insurance policy should state that you will be able to purchase additional rental insurance for a percentage of the cost of the damaged items. Therefore, if you have to repair the entire apartment due to water damage, you would still be covered with the renter’s policy. Tenant’s insurance coverage can vary in price, so it is important to shop around before settling on anything.
If you are renting, you should also inquire about the landlord’s coverage on the building as well as your belongings. Often times a landlord will require tenants to purchase a renter’s insurance policy in order to legally rent the building. This is done to protect the landlords’ investment in the building by insuring their tenant’s personal belongings. Therefore, you should request a quote based on the cost of the building and all of the tenant contents insurance that is included with the rental agreement.
You should also carefully review your tenant’s insurance policy to determine the extent of the coverage for your belongings. You may be paying a higher premium because your belongings are at greater risk of loss or damage due to fire, flooding or other damage. If you only need protection for your personal clothing and other extremely expensive items, you may choose to purchase a more basic renter’s coverage. However, you should request at least a $1,000 dollar coverage limit in case of damage due to water damage, fire or theft.
If you rent out other people’s homes or rental properties, your home insurance cover will depend on the type of renters you have. For instance, if you have private renters, you will probably need to purchase a private liability insurance cover. The landlord’s policy typically does not cover liability for tenants. However, many landlord insurance policies do include cover for lost or damaged rental property.
Tenant’s insurance can also be quite beneficial to you, should someone suffer a loss due to a fire or other catastrophe caused by your tenants. If you have furnished rental properties, some home insurance companies will offer a replacement policy at no additional cost. However, you will have to make sure that any furniture and other possessions in your tenants’ care are covered. Some homeowners choose to exclude flood damage or vandalism from their home insurance policy in order to protect their personal items. Before purchasing home insurance for your tenants, you should carefully consider whether or not you want to pay more for the coverage, since it will likely be worth it in the long run.
