As a renter in Fort Collins, you may be speculating if you need to get renters insurance. After all, various renters either don’t know about renters insurance or think that is not necessary. But despite these shared beliefs, renters insurance is an effective means that renters can protect themselves and their belongings. To better understand what renters insurance is and why you need it, keep reading to learn everything you need to know.
What is Renters Insurance?
Generally, renters insurance is an insurance policy that covers both personal liability coverage for you and covers the loss or replacement of your personal belongings when you’re dwelling in a rental home. Renters insurance is not necessarily required by law, but it’s still something that every renter should have, as most landlords need coverage. These policies are cost-effective, but they also aid you if you are injured or your belongings are lost or damaged while living in your Fort Collins rental home.
What Does Renters Insurance Cover?
Numerous renters’ insurance policies will help you replace personal belongings that are stolen, lost, or damaged. But they also cover much more than that. When anyone comes over to visit and injures themselves while in your rental home, your renters’ insurance must cover the liability that may arise. Moreover, imagine what would come about if your rental house was damaged in a flood or natural disaster. In most instances, you are not authorized to reside in your house until the renovation has been completed, so the renters’ insurance will pay for you to stay somewhere else until your rental home is ready for you to move back in. Policies vary, but you may be surprised to learn that some even cover your car or will reimburse the cost of items stolen while you’re on vacation.
How Do I Put a Value on My Possessions?
After you acquire a renters insurance policy, you’ll need to identify how much all of your possessions are worth. Therefore you can buy the right amount of protection. Various apps and websites can help you understand how much your personal belongings would cost to replace, or you can also use a simple spreadsheet to track them. However, regardless of how you manage it, you need to have a list of everything you own and the estimated value if you need to file a claim. Even better, keep purchase receipts for expensive items and take photos of all of your stuff. This can help make the claims process much more efficient.
What About Pets and Roommates?
In case you’ve got a pet, renters insurance can help cover your liability if your pet injures someone. Although it’s rare, without insurance, your pet’s behavior could make you responsible for the injured person’s medical bills, legal fees, and so on. Even though renters insurance won’t help you replace your couch if your pet damages it, it will let a friend file a claim if your pet ruins something your friend owns. Yet, other insurers sometimes have breed restrictions and may not offer coverage for certain types of dogs or other animals. Similarly, roommates are commonly not included in a renters insurance policy unless the provider will allow you to add them. Not all insurers will let you do that, and it is likely better to have your roommate get their own policy anyhow. If you are both on the same policy, your roommate’s claims will reflect on your insurance record and may cause your rates to rise.
What Else Should I Know About Renters Insurance?
A few more things you need to know about renters insurance include items that are not covered, such as damage to the premises, insect infestations, and naturally-occurring water damage. For instance, if you discover that your home is infested with bedbugs, renters insurance would not cover any infestation treatments. Or if you forgot about the pot on the stove and burned the wall or bring about some other form of damage to the home, the renters’ insurance does not typically cover the actual dwelling.
This is also true for certain types of flooding situations. In many instances, natural-occurring flooding is not a covered event on your renters’ insurance. If you’re living in a neighborhood that is susceptible to flooding events – or even if you’re not – you’ll need to purchase a separate flood insurance policy. Overall, the only form of water damage that a renters insurance policy will cover is burst pipes or plumbing issues.
Once you’re prepared to get your own renters’ insurance policy, make sure to take the time to shop around for the policy that meets your needs at a reasonable cost. Different insurers may cover other matters, so it’s essential to read your policy carefully. In this manner, you can be prepared if you have to make a claim.
Are you looking for a new Fort Collins rental home? Real Property Management of the Rockies can help! Contact us today or visit our rental listing page to check out our great rental home listings in your area.
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