Renters’ insurance, do I need it?
We’ve all been there.
You’ve just leased your first apartment or rented your first office space. You’ve negotiated down your monthly rent, moved in your furniture and purchased your fixtures. You’re settled in and excited. The world is yours for the taking.
You invite your friends over. They’re amazed. The place is awesome. Then, inevitably, one of your friends says, “This is place is great! Hope you have insurance…”. Panic sets in. You ask yourself, “do I actually need renters’ insurance? Or is it one of those things like Apple Care that everyone says is important but really optional”.
Luckily, KBD Insurance can help you solve that question.
*TL;DR. Yes, you definitely need renters’ insurance!
See, being a renter has its perks, namely having a landlord. Dishwasher breaks? Call the landlord. Your sink springs a leak? No problem, call the landlord. Paint chipping away on your door frame? Yup, you guessed it: another job for the landlord. And while having a landlord helps alleviate specific stresses, like those mentioned above, if and when things get rough, their obligations tend to drop and you’ll be wishing you had renter’s insurance.
Why do I need Renters’ Insurance?
Most, if not all apartment complexes and office buildings have basic insurance coverage that will be provided along with signing your lease. It is important to note that this insurance protects the building itself; it does not cover any of a tenant’s belongings.
So for example, there’s a fire in your building. You get out safely, but all of your possessions are still inside. Remember, the building’s insurance covers the structure only. So if the walls are damaged and need to be replaced – that’s on the landlord. But everything inside, your furniture, electronics, moments, office equipment – all of your possessions – that’s on you.
Or imagine that there’s a theft in your building. A burglar breaks in and steals your laptop, tv and all of your precious jewelry. You can call the cops to report the crime, but those stolen goods are lost forever. The good news is that a renter’s insurance package will replace those stolen goods.
What if my stuff is not valuable?
On the off chance that all of your possessions are virtually worthless, KBD Insurance still recommends that you purchase renters’ insurance. Wait, you may be thinking, why would you need insurance if there’s nothing valuable in your apartment or office? Simple: an insurance term referred to as third party liability.
Here’s an example: you live in an apartment building. You are cooking french fries, and the oil spills over, accidentally causing a fire. Let’s say the fire causes $50,000 worth of damages to the apartment building. Guess who can be held responsible for these damages? That’s right, you, the renter. Especially if you have a few dollars to your name, it is absolutely imperative that you purchase tenant’s insurance. Every renter’s insurance policy covers third party liability; in other words, covers you for bodily injury or property damage caused to someone else’s property.
Bottom line: renters’ insurance is an essential asset. Like a life vest, it’s one of those things you don’t need every day but is a complete necessity when struck by a disaster.
If you’re interested in learning more about renter’s insurance, or would like to receive a quote for your home or office, let us know!