Top 3 Reasons To Purchase Renter's Insurance

If you are ready to sign a lease for a new apartment you are renting, you may want to consider purchasing an insurance policy for the apartment. The type of insurance you would want to purchase is called renter's insurance, and it is a type of insurance that is very similar to homeowner's insurance, except that it is designed for tenants instead of homeowners. If you do not know a lot about renter's insurance and are unsure whether you need it, here are the top three reasons you should purchase a policy.

Your landlord may require it

Landlords can either tell their tenants that purchasing renter's insurance is optional or required. If the landlord you have requires renter's insurance, then you will have to purchase it. In other words, it will not be optional. If you choose not to purchase it when your landlord requires it, the landlord might buy a policy for you and charge you a monthly fee for it. This is typically not the best option, though, as your landlord might charge you more for the insurance than it would cost if you had purchased it on your own.

You have no other protection over your things

Secondly, living in an apartment without renter's insurance is risky. If anything happened to your things, you would have no way to receive compensation for them. For example, if someone broke in and stole your things, you would have to replace them with your own money. If a fire burned your things, you would have to pay to replace them. If you own things that are valuable, it could be very devastating for you to have to pay to replace all of them.

You will have coverage if you have to move out for certain reasons

The other important thing to understand is that a renter's insurance policy will probably offer additional living expense coverage, and this is designed to help you pay your bills if you are forced out of your apartment for an insurance-related reason. For example, if a pipe in the building burst and left the entire building flooded, you may have to vacate the apartment for a month while repairs are made. With renter's insurance, you could receive some compensation from the insurance company for the extra expenses you would incur from being forced to move out.

If you feel that purchasing renter's insurance is the best option for you, contact insurance agencies like Woodmansee Insurance Inc to find out how much a policy would cost.