This is sponsored content. All opinions and views are of the advertiser and does not reflect the same of KTVH.
An expense that may not have been top of mind when you signed a lease for your room, apartment, or house is renters insurance, but signing up for it can help protect your personal property and give you liability insurance.
After all, your landlord’s homeowners insurance covers the structure you live in but not your belongings. Here is what you can expect from renters insurance.
It protects your property
Personal property coverage will help pay for the replacement cost of personal items — excluding vehicles — if they’re damaged. Whether the damage happens at home or elsewhere, your belongings are insured against the following perils:
● Theft
● Fire and lightning
● Wind and hail
● Smoke damage
● Power surges
● Vandalism or malicious mischief
● Frozen plumbing
● Weight of ice, snow, and sleet
Renters insurance also helps if any damage means you can’t stay home.
“That coverage is called loss of use,” said State Farm Insurance agent Pam Hansen Alfred. “It will pay you to live elsewhere until your home is fixed or you find a new place to live. The loss of use would pay up to 90% of your coverage for you to get reestablished somewhere else. They will also pay for additional meal expenses during that time because if you have to move into a hotel short-term, you will accrue more food expenses during that time.”
It provides liability insurance
Personal liability coverage protects you from legal fees and medical expenses if someone is hurt in your home or if you cause any damage.
“If you have a fire or smoke damage that you caused in the home that you’re renting, more than likely the landlord will have coverage for the physical structure,” Alfred said. “I know from personal experience that the landlord’s insurance company will pay the claim, and then turn around and sue you for the damage. Without renters insurance, you will have to pay for that out of your own pocket.”
For example, Alfred once had a renter who accidentally started a grease fire after a shocking phone call about her husband’s death led her to forget an oil-filled pot on the stove.
“State Farm paid for the smoke damage for the hallway but then sued the poor widow for the damage,” Alfred said. “And she paid monthly on that debt until the day she died. For about $10 a month, she could have avoided all of that.”
A portion of your liability coverage can even cover your child in college.
“If you have a child going off to college, State Farm automatically gives a 10% extension of coverage for their personal property as well as liability,” Alfred said.
It does not protect from all natural disasters
Like homeowners insurance, renters insurance does not protect against all natural disasters.
“It covers hurricanes and tornadoes but does not cover flooding,” Alfred said. “Renters can only purchase flood damage through the National Flood Insurance Program.”
If you would like to protect against other disasters, you will need additional coverage.
It does not protect your roommate’s property
Renters insurance protects you and your family’s belongings but not a roommate's property. However, the reasonable price means all members of the household can get their own policies.
“Renter’s insurance is such a reasonable price, usually about $10 a month, and it triggers a discount of your car insurance for bundling, so it’s really affordable,” Alfred said.
Learn more and request a rate quote at pamhansenalfred.com.
