For beginners, the concept of getting a renter’s insurance policy is still vague. Most people living in rent in different states believe their homeowner’s building insurance covers their properties too. That is why only 37-41% of people living on rent choose to get a policy done. It is scary how the affordable insurance policy is often underestimated by renters until they reach a dead end.
Getting Renters insurance by Wawanesa or any other trusted company is the best way to safeguard and protect your personal belongings in a rented house. Whether it is a fire breakout, burglary case, or vandalism, the one that faces the wrath is you.
Personal belongings must comprise hundreds and thousands of dollars worth of electronic items, furniture, apparel, etc. Once they are stolen or damaged, there’s no way around it. But, with a renter’s policy, you can cover the expenses.
Reading these tips will be crucial if you are planning to get a renter’s insurance policy.
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Carefully Choose the Coverage Amount
Renter’s insurance is meant to cover the expenses of replacing belongings that were stolen or damaged accidentally. According to different surveys, an average renter has around $35,000 worth of items in their rented houses. However, choosing the coverage plan is slightly different and depends on different factors.
One should make a complete list of every possession they have to get a more precise idea of what coverage amount is needed. Take a note of the items, the purchase dates, purchase prices, and their present worth.
Besides, the policy is not solely intended to cover personal belongings. It also works as liability coverage. The average coverage amount ranges from $100K to $500K, varying from one company to another.
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Enquire to Know What Aren’t Covered
Usually, a renter’s insurance policies cover a broad spectrum of stuff. However, most companies have some exceptions, i.e., certain situations that the policy might not cover.
For example, most insurance companies do not provide any coverage for damages incurred by earthquakes or floods. Apart from that, most policies also do not cover damages caused by intentional accidents like a fire breakout from a burning cigarette or a gas stove left running all night.
What you can do is enquire every bit of detail from the company to know what circumstances are covered and what isn’t. So, before making a final choice, ensure that the policy is transparent to you.
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Opt for the Right Deductible
Before the insurance firm picks up the tab, the renter must pay an amount independently. This is called the ‘deductible.’
The deductible options vary averagely from $200-$1000. The amount range can vary from one company to another. Of course, it is tempting to choose the lower deductible to ensure you don’t need to spend a lot of cash while filing a claim. However, that’s not always the best choice.
Choosing a higher deductible means one needs to pay lower monthly premiums. Saving money on the premiums can help you offset the expense in case a claim needs to be filed.
Wrapping Up
Renters insurance by Wawanesa and other reputed companies provides coverage to the renter’s personal belongings from various damages. All that you need to do is ensure you know everything about the policy before purchasing it. That will ensure you don’t get stuck in an unfortunate loophole.
