Personal Liability Insurance for Renters
Covering Renters At Home and Away
We all pose risks of harm to the property, security, health and safety of others. While we don’t intend for accidents to happen, they can occur anywhere, anytime — both in your home or while you’re out and about. If you have renters insurance, you’ll often have personal liability coverage to address these risks.
What's Renters Personal Liability Insurance?
No matter how much we try not to, we all make mistakes. Sometimes, those mistakes harm others.
If you rent a home, your negligence might harm your landlord, neighbors, visitors and even strangers. It doesn’t matter how careful you are, you always pose risks to others. So, if you cause the damage, then you might have to pay for it. Renters liability insurance can help you do so. A policy can help third parties recover cost losses they might experience as a result of your negligence.
How Does Personal Liability Insurance Work?
Consider a typical renters liability claim scenario: A guest in your rental home falls down the stairs and sustains injuries. They might have medical bills and might lose income from missed work or a disability.
The injured person might claim that you failed to warn them about a broken step, and therefore, their loss was your fault. They might even sue you. Your policy can help you settle with the client to cover some or all of the costs related to their losses. Where you, the policyholder, will benefit is that you won’t lose a lot of money from the mistake or from a lawsuit. That’s why coverage is a must-have.
What Does Personal Liability Insurance Cover?
Most renters liability policies offer coverage for a variety of incidents:
- Property Damage: If you damage someone else’s belongings, this coverage can help you pay them to repair or replace the item.
- Landlord Structure Damage: If the tenant damages to the landlord’s property, including the home’s structure, then liability insurance will often pay for repairs. For example, if you cause a fire while cooking, coverage might help you pay the landlord for the kitchen’s repairs.
- Bodily Injuries: This coverage might pay medical bills, supplementary income or other costs should a third party get hurt because of your mistakes.
- Pet Liabilities: Your furry friend could bite someone or tear up their belongings. If your policy contains pet liability coverage, it can pay for the harm a pet causes the other person.
- Legal Assistance: Should lawsuits arise from liability claims, then renters policies will cover the insured’s legal costs. For example, if might pay for your defense costs.
- Medical Assistance: Sometimes, someone’s injuries are the result of pure accidents, and you have no negligence or liability for their losses. Medical assistance coverage can help them pay for their medical costs regardless of whether you were officially at-fault for the injuries.
What Does Renters Liability Insurance Cost?
Generally, your renters policy (and the liability coverage within) is very affordable. Your premium might vary, of course, based on the amount of coverage you buy, and the risks present on the property.
Frequently Asked Questions
1How important is personal liability insurance?
Renters liability insurance is mandatory for most renters. Landlords usually require their renters to enroll in and present proof of coverage before allowing them to move into a rental home.
2How much personal liability insurance do I need as a renter?
Most renters insurance offers at least $100,000 in liability coverage. However, you can usually increase your liability insurance options to offer yourself more protection.
If you want more protection than your standard renters insurance policy can provide, you might qualify for umbrella liability insurance coverage. Umbrella policies usually can offer at least $1 million in additional liability coverage after you max out the limits of your policy.
3Does coverage insure off-property accidents?
The neat thing about your liability coverage is that it can apply both on and off your property. So, if your child kicks a soccer ball through a neighbor’s window, causing glass damage or injuries, coverage can help you repay the neighbor for their losses. Even if you cause someone else harm while you are completely off the property, such as at the store, then this coverage might repay them.
4Can you deduct personal liability insurance?
If your rental home is strictly for personal use, you cannot write off renters insurance. However, if you use the rental home as a home business, and have a specific home office location, you might be able to write off the premium costs. The IRS is very strict with the rules for writing off insurance premiums.
5Which states do you serve?
- District of Columbia
- New Hampshire
- New Mexico
- New York
- North Carolina
- Rhode Island
- South Carolina
- West Virginia