You may know that as a renter you need renters insurance. But, why? Why do you need to purchase a policy if you do not own the property?
Many people misunderstand the difference in the coverage a landlord or property owner purchases and renters insurance. Not having renters coverage can lead to financial difficulties and significant losses, though. Take a look at the differences and why you should not go without.
What Does Your Landlord's Policy Cover?
The landlord or property owner wants to protect his or her investment. That is why most will purchase a policy to protect the structure itself. This includes the building you live in and other structures (depending on the policy). Landlords also usually maintain general liability insurance. This safeguards the property owner from loss if someone suffers an injury on the property. This policy also protects the belongings of the landlord. In short, this policy protects the landlord only.
What Does a Renters Insurance Policy Cover?
By contrast, renters insurance protects you, the renter. It only provides coverage for what you own. This includes your furnishings, your electronics, and your personal items. It also provides liability coverage. It protects only the area you are responsible for maintaining. This can include a walkway up to your apartment. It includes spaces within your apartment as well.
The landlord's policy usually does not offer any coverage for these things. It does not cover your property, your assets or your liability risks.
What Can Happen?
Let's say a friend visits your home. He falls down the steps because of the carpet. That friend needs medical care. He misses time at work. You are responsible for these injuries in many cases. You may be negligent if you failed to keep these spaces safe. Your renters insurance can cover your losses in most cases.
By contrast, if the person falls down the stairs in a shared area of the property, the landlord might be responsible. The property owner in this case has an obligation to keep these areas safe.
As a renter, you need financial protection to minimize your risks. The property owner or landlord is not going to do this for you. His or her policy often offers you no coverage. Luckily, renters insurance is affordable and usually easy to obtain. It can help you have the protection you need.
Let McInnis Insurance Services, Inc. help you find renters insurance. Call us at 844.926.0860 for a fast, free policy quote.