What Is Enough Greensboro Renter's Insurance?

While it's estimated that approximately 95% of homeowners carry homeowners insurance, according to the III (Insurance Information Institute), 37% of home renters have renters insurance. In some U.S. locations, rentals actually outnumber owner-occupied homes, and their risk of suffering a loss from one of the many perils covered by a homeowners or renters insurance policy is just as great.

A major reason fewer renters take out insurance is likely the fact that homeowners with a mortgage are required by their lending institutions to obtain homeowners coverage. While some renters may be required to have renters insurance as a condition of their rental agreements, most are not subject to such a requirement. Unfortunately, for many, the need for renters insurance doesn't hit home until a disaster occurs and they take a financial hit for something against which they could have easily been protected.

What Does Greensboro Renters Insurance Provide?

When you buy Greensboro renters insurance you're getting protection against the risk of suffering financial loss in several areas. The first is property protection covering your personal possessions in your rental home, if any are damaged or destroyed as the result of a covered peril, up to the policy limits. Your possessions are also covered if stolen. Be aware that if your rental home catches fire and burns down it will be your landlord's insurance that pays for rebuilding the structure but it will pay nothing toward replacing your personal possessions. You should also realize that, just like homeowners insurance, renters insurance doesn't cover losses due to earthquakes or floods. These perils must be insured against separately by additional coverage.

Renters insurance also provides liability protection in case someone is injured in your rental home or sustains personal damage caused by you, a family member or pet. Thirdly, many renters insurance policies provide ALE (Additional Living Expenses) protection. This is coverage to reimburse you if a covered event causes you to have to temporarily move out of your rental home.

How Much Coverage You Need 

                                        

To determine how much coverage you need, make a list of all your personal possessions, determine their value and add these up. Choose between actual cash value (retail value minus depreciation) or replacement value (retail value without depreciation). Expensive items such as jewelry, artwork, coins or other collectibles may be worth more than your coverage limits, in which case you should add a floater.