Buying houses has been one of the most popular and eminent ways of household wealth genesis. It served as a status symbol and the vehicle of rising through the social ladder gradually. However, the ever rising home prices and skyrocketing mortgage rates,have made it difficult to buy a house. The supply imbalance of houses due to increasing demand has shifted our focus to renting. People are opting to rent homes whenever they plan to settle down. However, with that arises another burning issue of renter’s insurance which has been much debated about. So, here are few reasons why renters insurance is crucial for any renter to procure:
1) Property protection:
The property of a renter is as important as the landowner’s. It is about time that renters knew about it. The rented space provided may not be sufficient for keeping all your belongings, which is why it is useless to assume that landowners’ insurance will cover your property completely. Renter’s insurance helps you protect the property if it is stolen, damaged or if there is a fire. Houses not only provide us with shelter, but also can act as our makeshift offices. This makes it even more important to protect our houses. These insurances provide coverage for damage done by power surges, water damage, or any unforeseen destruction which isn’t caused by you. However, flood, drought, earthquakes aren’t covered for. This requires renters to opt for a few supplementary insurance plans which protect against such natural calamities. There are few limits which have been set forward to create guidelines.A range of services are provided by the insurance plans but few items aren’t covered. In such a situation, it becomes important to know how to get renter’s insurance.
2) We know your guests are important to you:
Now that you have scanned through a few benefits of renting and you are pumped up to rent your house, don’t forget something. Accidents are common and can happen inside your house too. It becomes worse when the affected are your guests. Sudden injury of your guest by your furniture, slipping and falling or even getting bit by your pet can prove to be hectic for you especially when you are expected to pay the healthcare bills. The renters insurance comes to your service right then. The insurance helps you stay unhindered by the legal proceedings and medical bills can also be paid for by this coverage. Approximately, $100,000 of liability coverage is provided to the renter including $1000-5000 worth of medical payments. It’s easy to drift apart over some petty bickering, and so it is wise to save for the rainy day when you are supposed to pay for it all.
3) Your stuff needs safety beyond house as well:
There can be a lot of items that you will need outside your house. While you are travelling or riding your car, there is a possibility your stuff may get stolen. The renter’s insurance plan provides the full coverage of these products even while in transit to protect the stuff from the useless pleas of packers and movers.
4) We don’t think your landowner cares about your property much:
The landowners often fail in providing protection for all that is yours. The problem which arises is mainly two-pronged:
- The landowners insurance covers the structure and framework of the rented space and doesn’t cover the materials within them. This can come off as a shock to many current renters, however that is the case.
- More often than not our stuff occupies more area than the renting space. But the insurance doesn’t provide any coverage for anything outside the rental unit.
5) You can be thoughtful, but your neighbours mostly aren’t:
It is commendable to be careful. The non-existence of an insurance plan can accelerate that, which is good. However, the problem doesn’t end there. We all live in a society, clustered together with our neighbours. Any damage to their property can affect yours too. In the absence of renter’s insurance you just have to accept something you weren’t responsible for. That doesn’t sound fair, does it ? So try out the renter’s insurance to get hold of these benefits.
6) Electric mishaps:
Electric issues like short circuits can be dangerous and bring about fire as well. Landlords are seldom seen covering it. If there is a problem with the wiring, you can still expect the owner to chip in, however you need to pay for the problem if it is caused by misuse of electrical equipment by you. The renter’s insurance comes in handy for those days.
7) Affordable as never before:
Renters insurance has sprawled up ever since its advent. The golden reason for this hike in popularity is the affordable price it offers. Admittedly there are a lot of variables associated with it, but the overall cost of the premiums are less than $200 every year(average) according to the Insurance Information Institute. The most cost-effective method of safeguarding renters’ property has to be this. You should contact your local agent as soon as possible to fix your premium according to your needs. Happy searching!