People who rent may not initially see much need for renters insurance. This is especially true for people who don't own many valuables and furnish their home with second-hand furniture.
However, renters insurance may be more important than you think, especially when it comes to liability. Here's more about what renters insurance covers, why it's so important to have, and when it's time to buy it.
First and foremost, renters insurance covers your belongings from such incidents as fire damage, theft, and vandalism. You may not think you own much. But consider just how much it would cost to replace your electronics, clothes, and bedding. This would be the reality if something happened and you didn't have insurance to cover it. Renters insurance can even extend to your car. While it won't cover auto damage in the event of an accident, it can help you replace items that were lost due to an accident.
Liability And You
Even though you don't own the property, you're still responsible for people when they're in your home. For example, let's say your child leaves a toy on the stairs of your rental unit. As a guest is walking down the stairs, they trip and take a tumble. In this case, your guest could technically say that you're liable for the injuries. A rental insurance policy would extend liability coverage to you, so you wouldn't be expected to pick up the medical costs on your own.
What's Not Covered
A standard renters insurance policy doesn't typically include water, pet, or insect damage. If you are concerned about damages from floods or bed bugs, you can check with your carrier to see if they have riders that can be attached to the policy. These riders may cost a little extra, but they give you the coverage you need in the event these common problems occur. If you have any items stored in a facility, you may also be able to have this coverage added to your renters insurance.
Those who don't have a lot of guests over and who can easily replace their belongings may not need renters insurance, but most renters do. Having the extra precaution can be just what you need to protect your savings when anything unexpected occurs. You can narrow down your policy with your BluCanopy agent or expand it based on your needs.