Have you ever thought about the financial loss of theft or an apartment fire? Although most mortgage lenders require homeowners insurance, renters insurance is typically overlooked. In fact, over 50% of renters reportedly don’t currently have renters insurance.
Arkansas renters insurance is essential for several reasons. Let’s discuss what it covers and why it’s worth your investment.
What Does Renters Insurance Cover?
Renters insurance is a personal insurance policy covering theft, personal property damage, natural disasters, bodily injuries, and other financial losses in a rented property. Rentals insurance can protect your space and belongings from an accident if you rent an apartment, home, condo, or even dorm.
When things inside your rented home are damaged or stolen, renters insurance reimburses you for the cost of fixing or replacing those items. Since your landlord’s insurance policy won’t cover the contents of your home, some landlords require renters insurance as part of your lease.
Policies vary from one person to the next, but most renters insurance policies cover the following:
- Contents– the furniture, clothing, and other valuable items in your home
- Loss of use- reimbursement for living expenses accrued when damage prevents you from living in your home
- Personal liability– financial protection from damage or bodily injury caused by an accident at your home
- Medical payments– reimbursement for medical bills or funeral expenses when someone is injured on your property
Can I Add Extra Coverage to My Arkansas Renters Insurance Policy?
The terms of your policy depend on the type of coverage you request. Your insurance agent can help you find a policy that meets your needs. Some renters add optional coverage to their policy to protect from the following:
- High-Value Items– This coverage provides financial reimbursement for damaged, lost, or stolen high-value items, including jewelry, watches, fine art, antiques, and more. For example, many people take out a high-value item coverage on their wedding or engagement rings.
- Water backup– Most basic renters insurance policies won’t protect your belongings from loss caused by sewer or drain backup. Adding this policy to your plan can be helpful.
- Theft extension– This provides extra protection for your belongings that aren’t stored directly in your home. For example, if you leave your laptop in your car or trailer and it’s stolen, the theft extension will reimburse you.
- Natural disaster extension– Most policies won’t protect you from natural disasters such as earthquakes and hurricanes. You can add to your renter’s insurance policy to cover limited losses from these natural disasters.
How Much Does Renters Insurance Cost?
The cost of your renter’s insurance policy depends on the type of coverage you need and several other factors. Prices vary from one renter to the next. To find the right option, look at everything you own, including furniture, jewelry, electronics, clothing, and other valuables. Estimate how much it would cost to replace it if lost in a fire, theft, or other accident. Then round up to the nearest $10,000. That’s the minimum amount you should carry. Your insurance agent can help you find the right policy for your specific needs and a deductible that works with your budget. All the Information You Need to Know About Collision Coverage is in our upcoming article if you want to learn more.
Contact Rocky Steele Insurance Agency Today to Find the Right Policy for Your Needs
At Rocky Steele, we’re dedicated to helping you find an Arkansas renters insurance policy that fits your needs. Call us today to discuss your options with a friendly team member.
