When renting a house, insurance is one of the things that you are rushing or rescheduling. Often it really comes into play only when something happens: damage, theft, a flood, a claim for compensation. And it is at that time that we realize what the policy covers — and above all what does not cover.
In most cases, insurance for renters is mandatory, but even when there is no such protection tool, often underestimated. One of the most common mistakes is to “disappear” on a good insurance policy. It is necessary to check the reliability of the insurance company. There have been companies active for decades, with a verifiable financial solidity, and other much more recent ones, born with the aim of offering low premiums but with limited covers. Before signing, you should check the independent assessments of the stability of the insurance and its ability to cope with compensation.
The policies for renters usually cover the personal goods present in the house: clothes, furniture, appliances, computers, phones. However, there are precise limits for some valuables, such as jewellery, fur or silverware. In these cases the standard coverage is not enough and a dedicated additional policy is needed, designed to ensure specific goods.
Another element often ignored is deductible, or deductible. Many policies start from a franchise around $250, but accepting higher thresholds – $500 or $1,000 – the annual prize can be significantly reduced. It is a compromise: you pay less every year, but you anticipate a greater share in case of damage.
The renter insurance also covers less intuitive situations. It can intervene, for example, if clothes are damaged after a fire in the dye, if a bicycle disappears from the condominium basement, if a guest gets injured in the house or if a flood – caused by a distraction or a problem in the neighboring apartment – also causes damage to other tenants. In some cases, the policy even covers the costs for temporary accommodation, if the apartment becomes unreasonable. And there is also the classic power freeze that affects the palace and frys the new mobile phone.
But there is a critical point that often emerges only by reading the clauses: Many policies do not cover the damage caused by people to whom the apartment is subjected, even for short periods. Those who think of leaving home to acquaintances or friends during the holidays should check it carefully, because it is not at all discounted.
Insurance for renters does not serve to avoid problems, but to limit their consequences. And it is a difference that usually becomes clear only when something goes wrong.
Is it important to have insurance when renting a house? It’s from IlNewyorkese.
