Many of us may not have heard of this kind of insurance!
Well, now you know.
It will interest you to know how feasible and cheap it is to have a Renters Insurance.
This post will guide you on when to make a claim on your Renters Insurance.
But let’s know what insurance is…
Insurance is a form of protection from financial loss. It is seen more like a back-up against circumstances that when they occur will distort your budget or activity. Insurance is a way we deal with uncertain loss.
Some time ago, a close friend of mine came home to find her room turned inside out, just like the inside of a small tide pool. This happened when her neighbor pipe broke; it ruined almost everything in her apartment.
Just as many of us in our early 20’s, my friend rented her apartment without using insurance. And of course, her landlord’s insurance will not cover for any damage that has been done in her apartment.
The story was touching, and it was the motivation that made me immediately consider the need to register for my renter’s insurance. It would be difficult to replace my rug, not to talk of my Apple iBook or my entire banana republic wardrobe.
There was something I found out during my search for the appropriate insurance for my renters, is that there was no reason for anyone not to use the renter’s insurance. I realized that the total cost of the insurance was $140 a year; it was not even up to $12 a month.
In the case of renters insurance, if you stay with a roommate only, you will have to pay for the insurance because only your property will be covered. Hence there is no fear about any additional financial obligation or the need to make other payment that would cover your roommate’s $5000 home theatre.
Apart from the fact that renters insurance is very cheap, it is easy to sign-up. You will not have to do much to sign-up or go anywhere; all you need do is to pick up the phone and sign-up.
Call the insurance company of choice and answer some few important questions about the insurance package you want to choose, and then you make a payment. You will get immediately covered after you pay.
I completed the whole process in about 30 minutes.
You don’t have to stress much to register for the renter’s insurance. Unlike other forms of insurance policies just as the car or life insurance, the plans that are available in the renter’s insurance policy are not much varied.
Some banks also offer some insurance policy; hence just in case you get stranded on what to do when you need renters insurance; you could dial your bank and get the information you need. Also, if you have any insurance policy with any company, you could call them up and ask if you what it will take to add renters insurance to the list. Since you already have a system with them, then you stand the chance of getting the best deal for your renter’s insurance.
The amount you would pay for insurance is called premium, this premium is calculated by the value of the contents you have in your room. Your premium also determines how much your deductible will be at the end.
The deductible is the amount that you will have to pay from your pocket before the insurance begins — actually, the higher your premium, the lower the deductible you will find.
Renters insurance covers more than the things that are in your possession; in several other cases, it covers any medical liabilities that come along your properties. If someone hurts herself in your apartment and then decide to sue for damages, then this insurance will also cover for it.
Usually, there are limits to what your insurance policy covers, if you have some very valuable possessions, you may need to pay some extra funds to cover them individually. Sometimes too, it is important that you ask if your items are covered with the replacement value or the cash value.
The cash value is the cost of the item currently; while the replacement value was the cost of the item when you bought it. Hence if that your couch that has spent 10-years in your apartment gets burnt up in accidental flames, then you might end up getting just $200 as the cash value meanwhile the replacement value will be about $1500.
The best for you will be to get a plan that will provide the replacement value. Also, if the model that was damaged is no longer made, then the insurance will cover for a similar model.
You should, however, bear in mind that there are limits to how much your insurance will shell out even if you have a replacement value. The other important detail you need to ask if your insurance will cover if ever your apartment becomes unlivable.
Some insurance packages will also cover if your apartment has a gas leak and then you can’t live there in a while; they will promise to pay for the rent of a similar apartment taking consideration of the rent price and the quality of the room you are staying in.
Everyone needs rent insurance, most times, we can control what we do and how safe we can keep ourselves, but we may not be able to control our neighbor next door from carelessly leaving their tap on or from dropping a cigarette on the carpet and causing a fire.
You can drop your question about insurance on the comment section and we will address them. Do not cheat yourself by not opting for rental insurance; it is the best way to survive uncertain situations that could lead to loss of property and money.
Make that call today and get started on the process of getting your rental insurance. And yes, students can get it too.