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Can I get insurance
if I rent my home?
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Renters
insurance
provides
financial
protection
against the loss
or destruction
of your
possessions when
you rent a house
or apartment.
While your
landlord may be
sympathetic to a
burglary you
have experienced
or a fire caused
by your iron,
destruction or
loss of your
possessions is
not usually
covered by your
landlord’s
insurance.
Because in most
cases, renters
insurance covers
only the value
of your
belongings, not
the physical
building, the
premium is
relatively
inexpensive.
By purchasing
renters
insurance, your
possessions are
covered against
losses from fire
or smoke,
lightning,
vandalism,
theft,
explosion,
windstorm and
water damage
(not including
floods). Like
homeowners
insurance,
renters
insurance also
covers your
responsibility
to other people
injured at your
home or
elsewhere by
you, a family
member or your
pet and pays
legal defense
costs if you are
taken to court.
Renters
insurance covers
your additional
living expenses
if you are
unable to live
in your
apartment
because of a
fire or other
covered peril.
Most policies
will reimburse
you the
difference
between your
additional
living expenses
and your normal
living expenses
but still may
set limits as to
the amount they
will pay.
There are two
types of renters
insurance
policies you may
purchase:
-
Actual Cash
Value –
pays to
replace your
possessions
minus a
deduction
for
depreciation
up to the
limit of
your policy
-
Replacement
Cost –
pays the
actual cost
of replacing
your
possessions
(no
deduction
for
depreciation)
up to the
limit of
your policy
With either
policy, you may
want to consider
purchasing a
floater. A
standard renters
policy offers
only limited
coverage for
items such as
jewelry, silver,
furs, etc. If
you own property
that exceeds
these limits, it
is recommended
that you
supplement your
policy with a
floater. A
floater is a
separate policy
that provides
additional
insurance for
your valuables
and covers them
for perils not
included in your
policy such as
accidental loss.
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