Renters insurance is a special type of insurance offered to people who rent their home or apartment from a landlord. This type of insurance typically covers the belongings of the resident. This is different from homeowners insurance in that the building is not covered. Landlords have insurance that cover the structure. A common misconception is that a landlord’s insurance will also cover the belongings of the renter. This is not true. If there is a fire, the landlord’s insurance will only pay to replace the building, but not any of the belongings of the tenants. Insurance for renters will replace a tenant’s belongings if they are damaged by a flood, fire, or if they are stolen.

Insurance for renters offers many different types of coverage depending on need. Insurance offers personal property protection in case belongings are damaged during a fire or if a pipe leaks and floods. Insurance protection also includes living expense reimbursement. If your landlord must have the building fumigated, insurance can cover the cost of a motel. If the power goes out and food spoils, insurance can reimburse grocery expenses. Say there’s a loose tile in the apartment, and someone trips and breaks their arm. Think they’re going to sue the landlord? Think again. They can come after the tenant. Most types of insurance provides liability protection if there’s an accident in the house or apartment. If you have a leaky bathtub and someone slips and falls in the bathroom, insurance also covers their medical bills.

Insurance is invaluable, and usually doesn’t break the bank each month. How much is your furniture, jewelry, and electronics worth? Do you really want to have to pay for someone else’s mistake? This type of insurance is a must for people who live in apartment buildings. What if an absent minded neighbor leaves a faucet on, or leaves a lit cigarette in their trash? If they start a fire or flood, you will pay for their mistakes if you don’t have insurance.