Renting a home in Salisbury, Maryland shouldn’t be a stressful experience for you, and purchasing renter’s insurance will help you avoid many problems. There are quite a few myths and misinformation about this type of insurance policies that often make people hesitate to buy them. This article will help you clear up some of the common misunderstandings and understand the benefits offered by tenant insurance.
Busting the Renter’s Insurance Myths
The Internet is rife with stories that claim tenant insurance is almost completely useless. However, if you assess some of the most common misconceptions about this policy with a critical eye, you will see that not all these sources can be trusted.
Take a look at the four most common “reasons” for NOT needing a renter’s insurance:
- The value of your possessions isn’t high enough to warrant an insurance.
It’s the most common explanation used by people who have decided to forego investing in this policy. As a renter, you may indeed feel that you don’t own enough valuables to outweigh the insurance costs. However, should any accident occur, your thoughts on the matter will definitely change.
The vast majority of people underestimate the amount of money it will cost them to replace the items they’ve accumulated over the years. To be sure that you are making the right decision by not buying insurance, you need to understand the exact value of your possessions. Take a full inventory of your possessions and calculate approximate replacement costs as well as your personal attachment to them. This detailed study of your valuables may be enough to persuade you into protecting them with a policy.
- The landlord will pay for any property damages.
Falling for this myth may end up costing you a small fortune. The vast majority of landlord insurance policies cover the building only. Therefore, should a fire or any other accident happen, you will be left with hefty repair bills and a heap of ruined valuables.
Note that even if the damage to your property was inflicted by one of the landlord’s malfunctioning appliances, the landlord will not be held responsible.
- Renter’s insurance only covers the personal belongings of the tenant.
If you choose the policy carefully, you will be able to not only protect your valuable possessions, but also avoid hefty repair bills from the neighbors whose property might be damaged in an accident originating from your property. For example, if you flood your bathroom and the water seeps into the apartment below, the insurance will cover the damage.
- Renter’s insurance policies are too expensive.
This is a total myth as there are a great many options available today, and quite a few of them are affordable. Some policies will cost as little as $20 per month. This is definitely a fair price to pay for your peace of mind.
Do I Need Renter’s Insurance?
The answer to this question is really simple. Yes, you definitely should buy a renter’s insurance policy to avoid stress and unplanned expenses caused by incidents that are outside of your control.
If you are still in doubt, consider the following list of reasons that prove the benefits of renter’s insurance:
- You will be protected against theft.
With the crime rate on the rise, there can’t be such a thing as too much protection. Renter’s insurance will protect you in case your property is burglarized. It will pay not only for the stolen items, but also for the damages inflicted by the thieves.
- Renter’s insurance comes with damage liability.
This part of the policy is important if you want to avoid paying for your neighbor’s property damage caused by an accident you are technically responsible for. The liability extends to any damage, from a broken flowerpot, to a fried TV, to a ruined bathroom ceiling. Remember to consider the limits of damage liability carefully as this will affect the overall cost of the policy.
- Basic tenant insurance covers a great number of perils.
A storm, fire, lightning, and tornado are only a few of the perils you will be protected from if you purchase this insurance policy. This kind of “safety net” against nature is important because there is absolutely nothing you can do to avert this kind of disaster. You can install alarms and deadbolts to prevent theft and renovate your plumbing to avoid accidental flooding, but nothing can protect you from the power of a raging storm. Of course, should a natural disaster occur, there will be no saving your possessions. However, at the very least, you will not have to pay for replacements out of your own pocket.
- Renter’s insurance options are extremely versatile.
You can find a policy that will meet your needs perfectly, thereby obtaining the maximum level of protection for an affordable price. This insurance can be tailored to the needs of the property to increase its overall efficiency. You may even modify the policy so that it will move with you to your next rental property.
- This protection is affordable.
The vast majority of renter’s insurance policies are really low-cost. Evaluating your possessions and getting quotes from several insurance companies will allow you to see financial benefits of this insurance.
- Renter’s insurance protects you from faulty electrical wiring.
Old or faulty electrical work is the biggest problem of rental properties that often results in a fire. As you can’t actually see the wiring to assess its safety, a protection from this extremely common issue is a necessity.
- This insurance is applicable for college dorms.
Many renter’s insurance policies can cover college dorms, so you can get the chance to protect your valuables even if you aren’t an actual renter.
Speak with your insurance agent about getting rental insurance.