Is Renter's Insurance Necessary and How Much Do I Have To Pay?

Renters insurance perhaps as important as home insurance because the whole point is to protect what you have.  Your apartment can be easily damaged by flood, fire or other natural catastrophes and you will lose everything.  Rental or renters insurance works the same as car insurance, home insurance and life insurance.  It is to make sure you have money to cover your losses  in when disaster strikes. Renters insurance also protects you if your apartment has been broken into. It helps minimize the amount of money you will have to pay to restore your items.  Renters, do not assume that if you are renting a house that the homeowner's policy will protect you.  The homeowner's policy protects the homeowner, not the tenants.  If there is a fire and you don't have renter's insurance or if there is a break in and you don't have renter's insurance, then you have to suffer the lost.

What Is And Is Not  Covered With A Renter's Insurance Policy?

In essence, it really depends on what insurance company you decide to go with but the coverage is usually simple, yet enough to cover you in your time of need.


  • Items in your apartment that has been damaged, lost or stolen due to a break-in or a fire. Flooding policies are usually additional since flooding only happen in specific regions.
  • Liability protection
  • Covers medical expenses for you or anyone hurt in your apartment during a robbery, or a natural catastrophe.

Not Covered

  • As a general rule, most renters insurance policies do not cover flooding because as stated above, flooding only happens in specific areas. If you think you may be a victim of flooding, then you should purchase additional flooding insurance.
  • Of course, negligence on your part that caused the damage.  You will have to speak with your renter's insurance agent to see how they describe "negligence."


How Expensive Is Renter's Insurance: How Can I Get Rent and Apartment Insurance Quotes

Renter's insurance is not expensive at all.  For as little as $5 to $20 per month, you could have peace of mind in case something happens to your personal property.  I'm sure you will agree that the cost of everything in your apartment that's insurable, and your peace of mind with worth more than the cost of renter's insurance.  Many insurance companies such as State Farm are also bundling renters insurance with auto insurance.  The bundle money and you have the convenience of paying both auto and renters insurance at the same time.  GEICO, has a cheap apartment insurance quote of $12 per month which covers the following:

All the personal property you keep inside your residence including:

  • Furniture
  • Televisions
  • Computers
  • Clothing
  • Jewelry

    They also offer a personal property calculator to help you estimate your property's worth.

    When you are looking for a good renters insurance, make sure you treat it as if you were looking for a home owner's insurance policy. By that I mean, don't think that just because it's not for a house that you should be less careful in your search and your reading of the contracts.  You are still paying your hard earned money every month to make sure you are covered in case of a catastrophe.  Read the contract and read the limits that they cover each item up to.  Don't just assume you will be fully covered for everything just because you are paying on time every month.  As the saying goes, the devil is in the details so read your contracts before you sign them and any documents pertaining to your renter's insurance.  Make sure you seek the help of a qualified insurance agent because just because you are paying less money than a home owners insurance policy, doesn't mean the process in any less important.