It is not uncommon for a renter to think that their landlord’s insurance protects their personal belongings and property. Unfortunately, this is not the case and many renters are unprotected. Your landlord’s dwelling insurance only protects the building and premises. If your personal belongings happen to be destroyed or damage in an event such as a building fire, only a renters insurance policy will provide coverage for those belongings. Whether you are renting an apartment in Saginaw, or a townhome in Bay City, the experienced team at Heritage Wise Group will help you select a renters insurance policy that provides the coverage you need.
Renters can typically choose between two common policy types. These are named-perils policies and all-risk policies.
- Named-perils policies provide coverage for lost or damage property resulting from events specifically outlined in the policy. If the policy does explicitly state there is coverage for a specific event, your belongings will not be protected.
- All-risk policies cover all losses unless specifically excluded in your policy. All-risk policies are typically more expensive than named-perils policies due to the greater range of coverage.
Not all renters insurance policies are the same, but typically you will find similar coverage across all policies. These most common coverages include:
- Coverage for damage or loss of personal property and belongings. Belongings that are stolen from your car, workplace, or while traveling can even be covered under your renters insurance policy.
- Personal liability coverage to protect you if someone is injured on your property.
- Loss of use coverage in the event you need to relocate temporarily.
Optional Renters Insurance Coverage:
- Coverage for high-value items including jewelry, collectibles, and antiques.
- Flood insurance
Renters have the option to choose between an actual cash value or a replacement cost policy. In most cases, your renters insurance will pay the actual cash value for your damaged or lost property. This means that depreciation as well as wear and tear will be deducted from the value of your property when calculating your claim. If you wanted to replace a lost item with a new one, you will have to pay a portion of the costs out of pocket.
In some cases, you may wish to choose replacement cost coverage instead of actual cash value. Replacement cost coverage does not deduct wear and tear and will pay you the full amount needed to replace an item. This option comes at a slightly higher premium than actual cash value policies.
Many Michigan residents don’t consider renters insurance because they think it will be expensive. On average, a renters insurance policy costs as low as $20 per month and can offer up to $50,000 in coverage in some instances. Policy discounts are available to renters to help them save even more money.
Don’t leave your personal belongings unprotected by neglecting renters insurance. Heritage Wise Group is here to help renters throughout Saginaw, Bay City, and Midland find a great rate on a complete and comprehensive renter’s insurance policy. Contact us today for more information on renters insurance or to receive a free quote.
