What Is Tenant Insurance

Copyright (c) 2007 Keith Mallinson

Renters insurance is a misunderstood subject which needs to be explained as there are many occasions where we rent equipment, marquis for a wedding, car or boat for instance; all of which could be damaged or even completely destroyed. Often people rent things with the false belief that some other insurance plan they have will cover them.

Now many people believe that when they rent a property that they are automatically covered on the insurance of the landlord. This is not the case and whilst he does have insurance, it is only for damage to the structure of the property.

This insurance does not cover your personal possessions or liability and if you cannot you replace them immediately, out of pocket then you need renters insurance. Also, if it is provide that the damage was as a result of negligence on the part of the tenants then they will be liable for any costs incurred.

There is in fact another reason to organizing renters insurance. The responsibility for a person being injured whilst they are in the home or apartment you are renting is down to you and not the landlord so if medical costs or attorney fees need to be paid, the rental insurance will cover it. This means you are covered for that person's medical expenses, legal costs if they should decide to sue, and any damages they might be awarded.

It is quite common for people to rent a car believing that their own insurance will cover the costs if there is an accident but this isn't always the case or if they do it has limited conditions but a worthwhile check should be carried out on the credit card you paid for the rental on as this may cover the costs. After you have checked your car insurance plus your credit card conditions and find that they do not cover renters then taking out this type of short term insurance will not break the bank at approximately ten dollars or so per day it is far less expensive than replacing a new car.

Of course there are many more areas where rental insurance can be used even if you are renting sports equipment for a vacation. Don't dismiss the decision to by renters insurance; the peace of mind of knowing you're covered in the event of a mishap is worth the small price of renters insurance. How much you will pay will depend on many factors as with all types of insurance but you can guarantee that certain factors like location, company you decide to use and what your deductible is will all be relevant. Take a look around before you decide on what company to use and try looking on the internet as discounts are often found there and adjust the deductible amount until the insurance premium is within your budget.