Whether you currently have a renters insurance policy or are thinking about buying them, there are a few facts that you should know about the coverage that these policies provide. Continue reading to learn more about these three important facts.
Fact #1: Renters Insurance Does Not Provide Protection For Your House
Many people make the mistake of thinking that renters insurance will cover any damage that they may accidentally do to the house they are currently renting. This is not the case. Renters insurance is designed to provide protection for your personal belongings, not for the home that you live in. If damage is done to your house that is covered by insurance, a claim for this damage will need to be filed under the landlord's homeowners insurance policy. However, you may find that the landlord requires you to pay for this damage out of your own pocket rather than filing a claim with their insurance provider if the damage to the home was your fault.
Fact #2: Renters Insurance May Provide You With Temporary Living Expenses
In the event that the home you are renting suffers damage that requires you to leave the home while repairs are being completed, your renter's insurance policy may be able to help you with the cost of temporary housing and other living expenses. This includes the cost of staying in a hotel or short-term rental, as well as a daily stipend for things such as food and increased transportation costs. In order to qualify for this type of coverage, it must be unsafe for you to remain in the home while repairs are being completed. It is also important to note that there is often a time limit associated with this coverage. Consequently, you may need to find a new rental if the repairs to your current home are going to take longer than your insurance will cover.
Fact #3: Renters Insurance Covers Your Belongings Even Outside Your Home
While the primary purpose of renters insurance is to cover the personal belongings inside your home, the coverage that this insurance provides actually extends to these same belongings when they are outside your home. For instance, if someone steals your personal belongings out of your vehicle, your renter's insurance can help to cover the cost of replacing these items. Renter's insurance can also help to cover the costs associated with damaged or lost luggage when traveling away from home.
To learn more, reach out to an insurance agency in your area such as Woodmansee Insurance Inc.