Thirty-seven percent of all households in the United States are renters, according to the National Multifamily Housing Council. However, the Insurance Information Institute (III) conducted a study in 2015 that showed only 40 percent of renters maintain renters insurance compared to 95 percent of homeowners who have homeowners insurance.
Even though renters aren’t responsible for rebuilding the physical structure they reside in, in the event of a loss, they are responsible for rebuilding their lives. Renters insurance can help them do it. So, why do so few renters have renters insurance? It is possible renters don’t see how valuable renters insurance is in maintaining their lifestyle.
If you are a renter, then consider the following three facts about renters insurance, and how it protects you and your family from undergoing a financial crisis following a loss.
Protect Your Personal Property with Renters Insurance
Although you may be keenly aware that renters insurance protects your personal property from loss, you may not appreciate the importance of this protection.
After a fire or an in-home flood, many people have nothing. They don’t have their smartphone, computer, smart tv, bedroom set, sofa, iPod, clothes, shoes, or any other personal property they take for granted each day. Moreover, without renters insurance, they are also responsible for replacing these beloved items. Replacing these items can cost thousands of dollars, which many people don’t have readily available. The easiest way to avoid this situation is to purchase renters insurance immediately.
Renter’s Insurance Protects Against Liability
Generally, when people think of renters insurance, they only think about the fact that it covers their personal belongings. Even though renters insurance provides renters with the financial security to replace or get reimbursed for their personal property, there is so much more to renters insurance, including the fact that it reduces their liability responsibility.
With insurance, you can reduce your financial responsibility if you are responsible for injuring another person or damaging their property. From water damage to another renter’s apartment to your pet biting a neighbor, you’ll find that renters insurance will help lessen the blow to your wallet if you’re found legally responsible.
Insurance Riders Expand Your Renter’s Insurance Policy
We’ve covered the fact that renters insurance covers both your personal property and liabilities. However, your protection doesn’t stop at these two valuable features. By purchasing riders for your renters insurance, you can expand the amount of coverage you receive with your insurance.
Riders are addendums to your coverage that give you more coverage than the basic coverage. When it comes to renters insurance, there are a lot of riders you can purchase to expand your coverage, including coverage for expensive novelty items like a Pokemon card collection or expensive jewelry.
If you rely on your gadget or you value sleeping in a bed that’s yours, then you need renters insurance. With insurance, you have a financial partner who will help you overcome a loss.
Do you need renters insurance? Do you want to talk about how to improve your coverage with riders? Contact Gordon Insurance today to learn more about renters insurance.