Nov 30, 2015 – One of the most common misconceptions we hear from people who rent an apartment from a landlord or property management company like Kenmore Development is that their belongings will be covered in the event something bad happens to the building, like a fire or other hazard.

Unfortunately, that’s not the case.

Watch this video from the Insurance Information Institute to learn about the basics of renters’ insurance, and read on to find out why you need it, what it covers and how much it costs.

Why renters’ insurance is necessary

Your landlord’s insurance covers the building if the worst happens. But it only covers what the landlord owns–including the land and the physical structures on it. Anything inside the building that you own will be not be covered by your landlord’s insurance policy.

That’s why, in order to make sure you’re protected, Kenmore Development requires that our residents purchase renters’ insurance. This protects you and all of your property and helps you minimize unexpected costs.

If you think your belongings aren’t worth enough to warrant coverage, you’d be surprised at how quickly their value can add up. According to Allstate, the average renter in a two-bedroom apartment has about $30,000 in personal property.

For Kenmore Development apartments, we require that our residents carry renters’ insurance with a minimum of $300,000 in liability coverage. Renters can then decide how much they want to insure their personal belongings for in addition to liability.

What does renters’ insurance cover? (more than you think)

Just like homeowners’ insurance, renters’ insurance usually covers fire, theft, vandalism, utility malfunctions (plumbing and electricity), weather related damage and many other hazards, according to Esurance.

And because it follows you wherever you go, you’re covered for these hazards regardless of whether you’re at home or across the world. So if someone steals something out of your car, or there’s a fire in your hotel room while on vacation, your property is still covered under your policy.

A renters’ insurance policy may also feature the following coverage:

• Personal Liability: If you’re sued because an injury or other issue occurs in your apartment, your legal costs may be covered.
• Medical payments: If a guest or visitor is injured on your property, their medical bills may be covered by your policy. This generally doesn’t cover injuries to you or other household members.
• Property damage to others: If you accidentally break or damage someone else’s property, your costs may be covered by your renters’ insurance policy.
• Additional living expenses: If a covered incident occurs that makes you unable to stay at your home, home rental insurance can help pay for a place to stay, among other expenses.

But remember, if a hazard is not listed on your policy, don’t assume it’s covered–it probably isn’t.

How much does renters’ insurance cost? (not a lot)

We have found quotes as low as $125 annually from State Farm and Geico for renters’ insurance that includes $300,000 in liability coverage plus $25,000 for personal belongings. You may also be able to get a discount if you combine renters’ insurance with another policy, such as car insurance, from the same company.

Depending on how the value of your personal belongings, you may want to carry more or less than $25,000 in additional coverage, but this will affect your rates.

Be sure to carefully read over your policy before signing up for renters’ insurance so you know exactly what you’re paying for. If you have any questions about what it covers, contact your insurance company.

And if you have any questions about what types of renters’ insurance coverage you need for one of our apartments in Buffalo, NY or Niagara Falls, NY, feel free to call us at (716) 874-7700 or fill out our contact form.