Protect Your Belongings with Renters Insurance
What exactly is renters insurance?
Insurance is not just for homeowners but also for people who rent. Renters insurance protects the possessions that matter to you from theft, fire and some types of water damage. Additionally, this coverage is in effect anywhere you go. And the best part – it’s surprisingly affordable.
Why do I need it? I don’t have a lot of belongings …
First of all, your belongings may be worth more than you think and you work really hard for everything that you own. Have you recently invested in a new laptop, flat screen, 5 megapixel camera or mountain bike with disc brakes? And what about everything else – furniture, appliances, clothing? Your possessions could easily add up to more than $10,000! If you’re careful enough to save for these items, don’t risk a financial setback replacing them.
Let’s take a quick look at some eye-opening facts, in order of the most common causes of loss in rented properties:
Theft: Rented households were burglarized at rates 40 percent higher than owned households, according to the Bureau of Justice Statistics at the U.S. Department of Justice, 2005. And in 2004, burglars entered a rented house, apartment or condo every 14.7 seconds, stealing an average of $1,607 in valuables each time (Federal Bureau of Investigation).
Fire: A fire occurs in a
Water damage: Unlike homeowners, apartment dwellers also have to worry about their neighbors’ water-related mishaps or carelessness, often stemming from overflowing dishwashers, washing machines, bathtubs or sinks. And, though less frequent, water damage can cause greater financial devastation than theft.
Remember, your expenses are not limited to just the value of your property, but the cost of living in a hotel while your unit is undergoing repairs. At an average
Here are a few other popular myths leading to the absence of renters insurance:
1. I don’t have that much stuff. How much could it be worth?
Don’t sell yourself short. Look around your place, and you’ll be surprised at how quickly your personal property value adds up: your furniture, the flat-screen TV, your laptop and printer, the MP3 player, the digital camera, the skis, snowboard or mountain bike. And don’t forget the clothes closet – how much are your shoes alone worth?
2. My landlord’s insurance will cover my belongings.
That would be nice, wouldn’t it? Alas, the landlord’s insurance covers only damage to the structure itself, not to tenants’ personal property.
3. I keep my valuable stuff in my car. If it’s stolen there, renters insurance won’t help me.
Actually, it’s your car insurance that won’t help you. Personal property stolen from a car is covered by a home or renters policy. In fact, renters insurance covers your property anywhere – even on vacation.
4. I can’t afford renters insurance. It costs too much.
According to the 2006 Liberty Mutual study, this was the biggest perception barrier to insurance protection: 41 percent of respondents felt renters insurance was too expensive. Yet, unlike homeowners insurance, renters insurance only needs to cover your personal property, not the structure itself, which keeps the cost surprisingly low. In fact, renter’s insurance policies are available for as little as $15 per month.
So, what’s left to consider? And if you’re about to say, “It will take too long to go get a policy,” then our renter’s insurance program is your answer. In just 20 minutes, you can purchase a renters insurance policy that will be in effect tomorrow. And, even if you’re not ready to commit, there’s an estimator tool that lets you figure out the value of your stuff and the approximate cost to insure it – you don’t even have to give your name.
Visit http://www.youcovered.com to request your quote.
Coverages, benefits, discounts and credits are available as state rules and regulations allow, and may vary by state. Coverages are subject to the provisions, limitations, exclusions and endorsements in the policy and the level of coverage you select. Your premium will vary depending on rates filed in the state where you buy your insurance. Deductibles may apply. To the extent permitted by law, applicants are individually underwritten; not all applicants may qualify. Coverage provided and underwritten by Liberty Mutual Insurance Company and its affiliates,
These tips brought to you by Liberty Mutual Group and the AICPA Auto and Homeowners Insurance Program. The AICPA Auto and Homeowners Insurance Program offers competitive rates and superior service to AICPA members. For more information, or to request a quote, call toll-free 1-866-92-AICPA (1-866-922-4272).
Reprinted with permission from
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