Apartment renters insurance: How renters insurance works – Part 1

Renters often think that because the landlord has insurance on the home or apartment building, the possessions they have in the apartment are covered under this insurance. Many find out too late that this is not the case when some accident occurs and they lose everything. When you are renting, ask yourself if you have the finances needed to replace everything you have if the apartment is a complete loss.

Renters insurance offers the same type of coverage on personal possessions as that of homeowners’ insurance. If your apartment is broken into and some of your possessions are stolen, then the policy will cover the cost. The same thing applies if you have a fire in your apartment or if you incur a loss due to broken water pipes or a sewer problem. The damages to the apartment itself and the property will be covered under the landlord’s insurance and your renter’s insurance will take care of your personal property. You also need to have separate flood insurance as a separate clause in your policy.

Along with coverage for your personal property you also have liability coverage under renters insurance. This means that if a person is injured while in your apartment or when leaving, you could be sued for damages. With liability coverage, your insurance policy will pay for the medical expenses and if the case goes to court, the insurance company will also pay the judgement awarded by the court. Without such insurance in place, it would mean financial disaster for you and your future.

The cost of premiums for renters insurance is considerably less than that of homeowner’s insurance. When choosing a policy, you should always opt for replacement cost in the coverage of your personal possessions. Even though this is a little more expensive it will pay off in the end if you do need to make a claim to the insurance policy you will get enough money to replace what you have lost. This is because replacement cost means that you will get the current value of the possessions and what you paid for them when they were first purchased will not matter.

When there are several roommates in an apartment, each person does not need to have his/her own renters insurance. You should check with the insurance company about this, but it is best if all roommates are listed on one policy. This may pose a problem though if the living arrangements are temporary.

There are limits listed in a renters insurance policy as to how much money will be paid in case of a claim. Read over these limits carefully to make sure that you do have enough coverage and ask that it be raised, but you may have to pay extra for this. For example, if your policy allows for $2000 for the theft of firearms and the firearms that you own are worth more than this, you will need to have additional coverage.

The policy you have in place for renting covers you for the term of the policy, which is usually a year, no matter where you are. You can be on vacation for most of the year and still have coverage in place on your apartment.

Landlords Building & Content Insurance Information

Are you a first time buyer of landlords insurance? Best way to look out for several insurance policies related landlord and to obtain a best deal at an attractive cost is with the help of an expert broker. Understanding the terms of each of these policies is essential in order to know what all does these landlord insurance policies cover.

Remember, that in times of a calamity, if you are insured against landlord building and content insurance and you want to make a claim for the damage caused, you should have an inventory, a list of all the things that are missing or damaged in your house. It’s better to prepare them before hand, as you will not be in a position to recall all items at home, while you are stressed out. If possible, take a video of all the inventories at home, but if your inventory and video also gets damaged in the event, then, you will have to recall it yourself. So, keep your video tape or the inventory list in place other than your house, with this you can retrieve back your items if it goes in flames. A landlord building and content insurance covers your exterior part of the building and content covers items within your house.

Are you pondering over certain questions like these. Experts find answers to your queries:

Are tenants contents insured against landlord’s insurance policy?

Not at all. Landlord content insurance policy covers only the landlord’s items, contents that he owns and has offered a furnished building to a tenant. Any items other than the landlord’s in the house, will not be insured. Sofas, chairs, tables and other valuable items owned by the landlord which may be used by the tenant who’s living in this house will be insured, so damages to the landlord’s assets will be properly compensated. A tenant has to avail a different insurance to cover his own items.

Can I buy a normal insurance for a buy to let property?

As you are renting out your property to a tenant, it is considered commercial and will be covered under business insurance, rather than landlord building insurance and you become liable to this. The amount you get from your tenant may be less, but it is still considered as a business property. YOU have certain legal responsibilities towards your tenants in a way that you do not have for your own home.

Things to Know About Renters Insurance

Generally it is assumed that the landlords insurance covers the tenant’s possessions also, but unfortunately it is not true. Insurance companies do not allow tenants to be covered under the landlord’s insurance. Therefore, it is advisable to have a separate renters insurance to secure from damages and losses. To find good rate on renters insurance, you have to clearly understand what all can be claimed with plan and choose a suitable one that covers all your requirements. The following are the basic things to know about the renter’s insurance policy:

Damages/Losses covered Under Renters Insurance

Renters insurance covers all your possessions from various disasters that are covered in the policy. It claims your possessions from damages/losses like, fire, theft, accident, explosion, vandalism, windstorm, and etc. It even provides coverage for your personal liabilities that covers the occurrence where anyone injures while visiting you. It doesn’t claim the damage caused by the earthquakes or floods. People who live in the places where regular floods or earthquakes occurs, needs additional insurance to cover those disasters.

Find a Reliable Insurance Provider

An easy way to find a reliable insurance company that gives you good services is to visit the website of insurance department of your state and determine the proportion of complaints against these companies. You can choose the company that has few complaints filed against them. Renter’s insurance rates may differ a lot from one company to the other. You have to spend certain time for comparing various service providers and select an efficient one.

Understand Your Requirements

The amount of coverage depends on the property you own. You have to evaluate the prices of all your belongings and choose the suitable policy that covers all your belongings. The sum of prices of all your belongings will be the amount of your required coverage for your personal property. If there is a need of excessive coverage, you can purchase the umbrella policy.

Renters insurance policy helps you in mitigating any damage/loss caused to your property by any mishap mentioned in the policy. This information helps you to understand the need of renters insurance that covers your possessions from a better service provider.

How To Insure More Than One Property

If you are lucky enough to have more than one property then you effectively have a life long investment that you can enjoy. It may be that you own a holiday home and can thus enjoy a few weeks or months in a more relaxing environment every year. Alternatively, you may have one or more properties that you lease out and so will have a regular income well into retirement. It is imperative that you therefore protect you investment as much as possible, and this includes taking out homeowners insurance policies on every property you own and not just the one you reside in full time.

It is possible to cover more than one home under one homeowners insurance policy, but very few insurers actually offer that option. Most will insist on insuring one property at a time. This makes these multiple property homeowners insurance policies very popular. Generally, insurance companies tend to insure your main property and then add additional property onto the policy as an extra, just like they would add emergency cover on. However, the amount of properties you can add on is limited so if you do own several buy to let homes than it may be in your best interests to take out several homeowners insurance policies.

If you do own several buy to let properties then your homeowners insurance policies will be very different for them than your own residential policy. This is because, as a landlord, you only actually need to legally provide cover for the structure, fixtures and fittings. You are obliged to insure your property via a homeowner insurance policy but not your tenants’ property. That is completely up to them to do. However, holiday homes and vacant property will need full cover in the form of vacant house insurance. For more info see http://www.homeowners-insurance-help.com/ on home owners insurance

Vacant house insurance can give you peace of mind if you do have a second home or have bought a property to redevelop or rent out that may actually be left unoccupied for a period of time. Under homeowners insurance policies, you are obliged to leave your house vacant for no more than 30 consecutive days of the year as a rule. However, vacant house insurance has very few stipulations of the nature. You only have to visit one in a while, if that. However, it may still offer you the same level of cover as homeowners house insurance, depending on the policy that you ultimately choose. It can be more expensive though, so be prepared for the in advance.

Insuring more than one home or property does not have to be a complicated process. A broker can help you to find the best homeowners house insurance policies for you because he or she makes a living from listening to the individual and then searching insurance companies to find the best possible policy, or one that can be tailored to your need. This takes the work out of it for you, and gives you that peace of mind that all of your property is well and truly protected!

Home Insurance – an Introduction

For the majority of the population, their home is the most expensive and important thing they own. Not only does it provide a place for them to live, put also one to store most of their worldly possessions.

For this reason, you would think that home insurance is something that many of us wouldn’t think twice about taking out. However, it is estimated that a staggering 25% of households across the UK are not protected with any kind of home insurance.

To begin with, it’s important to point out that there’re two main types of house insurance; the first, contents insurance, and the second, buildings insurance.

Their names are pretty self explanatory as to what they cover, knowing which one you require however, sometimes is not.

Contents insurance could be considered the most “basic” type of cover, as it should be purchased by both homeowners and tenants.

This type of cover generally insures all of the items in your home, from the most expensive things (e.g. TVs, PCs, other miscellaneous electronics) right down to the more “day-to-day” items (e.g. clothing, kitchen & bathroom ware).

Secondly is buildings insurance, which as the name suggests covers the actual structure of the building. Those simply renting a home do not usually require such cover, as it is generally the responsibility of the landlord to ensure his/her building(s) are insured.

You may find that some insurance company’s sell contents and building insurance as a bundle when you purchase a new home.

Both home insurance policy types will have very specific definitions on what they do and do not cover, and premiums will vary considerably depending on individual circumstances.

For instance, some contents cover polices may exclude certain items, whereas some may even insure possessions lost abroad.

The premiums on buildings insurance generally depend on such factors as location, age, the stability of the land the house is on and the actual structure of the house.

As this is likely to be the most important insurance cover you ever take out, it is important you thoroughly research the house insurance market allowing you to get cheap home insurance.

Landlord Home Insurance: Live In Peace

If you have given your home on rent, then you should seriously consider buying a landlord home insurance policy. Landlord home insurance is something a person to consider buying even as early as when they are considering the purchase of a property. Landlord home insurance or buy-to-let insurance is a combination of covers packaged together by insurers to provide with the essential components to ensure that their investment is adequately protected and secured.

All types of landlords require insurance for their properties. From the landlord who has given a single flat for rent or to the entrepreneur who has given a large portfolio of property on rent, a significant amount of money is tied up to the property. So with a landlord home insurance policy, you can be secured that even if anything happens to your investment, you can conveniently handle those without spending much from your pockets.

The following are the basic covers of a landlord home insurance policy:

• Property insurance: The building of your rented home is insured against most risks such as flood and fire for the cost of repair or rebuilding. Even you can pay a little extra and cover risks such as terrorism or subsidence. This cover of landlord home insurance policy will provide security for your garage sheds etc.

• Contents: It is important to keep in mind that when you buy this cover, you are proving protection to the belongings of your tenants. This cover is more profitable, if you provide your tenants with a fully furnished home.

• Liability: As a landlord, you are responsible for the safety of the property that your tenets are living in. If a tenant harms himself due to something dangerous in your property like faulty switch etc; then you may get trapped in some legal hassles. With this cover of landlord home insurance, you can easily handle these hassles.

Before divulging to buy a landlord home insurance policy, you should undertake a thorough research of the insurance market. You should collect various quotes and compare them to locate the best landlord home insurance policy. Now, with internet facilities, you can easily search and locate a landlord home insurance policy. You just need to sit in front of your PC and later buy the insurance that suits your needs.

Renters Insurance: Things to Consider

Many people who live in rental house or apartment don’t realize the necessity of renters insurance. And renters insurance sometimes can be confusing. The following are the basics of renters insurance to describe it in simple way.

Do I really need renters insurance?

Landlord’s insurance doesn’t cover renters belonging. Landlord’s insurance only covers the building that you live in; there is no coverage for your personal belonging. Most renters insurance offers full coverage to protect your possessions from flooding, fire, theft, vandalism and many other types of risk. Therefore, it is advisable to have a separate renters insurance to protect your belongings from damages and losses. Renters insurance even claims for the injuries caused to the people who visit your home.

Renters Insurance Coverage

There are three kind of coverage provided with renters insurance:

• Renters insurance covers all your possessions from various disasters. It claims your possessions from damages or loses like fire, theft, accident, vandalism, windstorm, etc. Renters insurance doesn’t cover damage caused by earthquakes or floods. If you live in the places where regular floods or earthquakes occur, then you need additional insurance to cover those disasters. There are also limits on coverage for expensive items like jewelry, silverware and antiques.

• Loss-of-use coverage. If your residence becomes unlivable for any reason, most renters insurance will allow additional living expenses. Meaning that your insurance will pay for your hotel room and any others expense you may have if your residence become unlivable.

• Personal liability coverage. It will protect you in the event that you are sued due to an injury incurred by someone while visiting your place. It also covers related damage and relevant legal costs. The minimum for such renter’s insurance policy is usually $100,000 and will cover injuries or damage that is occurs while at your place or that is caused by you, your family or your pets.

How much coverage do I need?

You need enough personal property coverage to pay for all your possessions if they are destroyed, and enough liability insurance to cover all your assets if you’re sued. It’s a good idea to make a list of all of your possessions when purchasing renters insurance. On this list you should make note of the prices you paid for the items or their replacement cost and use the total value as your coverage amount. The total your assets (bank accounts, stocks, bonds, etc) and make sure you have enough coverage to protect them.

Renters Insurance Cost.

Renters insurance is actually inexpensive, especially if compared with homeowners insurance. The cost of your renter’s insurance coverage depends on many factors, like the place you live, your insurance company, your deductible, etc. It can cost as little as $16 a month for $20,000 worth of personal belongings coverage and $300,000 liability coverage. Your insurance company may offer a discount if you put safety measures like fire alarms, fire extinguishers or burglar alarms in your residence.

There are many online insurance website where you get various quotes from various insurance companies. However, the best place to get inexpensive renters insurance is at online insurance comparison website. You will get quotes from different companies by filling out a questionnaire with information about your residence and the amount of insurance you want. This even allows you to talk with professionals online and get answers to your questions.