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Renters insurance covers your personal property, but there are a few exceptions


Renters insurance covers personal property but consider increasing limits.

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There are two components to renters insurance: personal liability and personal property coverage.
Personal property covers you if your belongings are lost, damaged, or stolen.
Some items like specialty jewelry, fine art, and high-end electronics require add-on coverage.

See Insider’s picks for the best renters insurance companies.

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Renters insurance protects your belongings and offers liability coverage for injuries that happen on your property. It also offers relocation costs if you are temporarily forced out of your rental through “loss of use” coverage.

If your pet bites a guest or someone is injured in your rental, personal liability coverage protects you. Your possessions are covered under personal property coverage. However, there are limits, and some items may be excluded.

What is personal property insurance?

Renters insurance protects your belongings and furnishings from damage due to covered events, known as insurance perils. A peril is an event that may damage your belongings. Common insurance perils include: theft, fire, lightning, hail, and vandalism.

Renters insurance policies cover up to a certain amount, usually around $20,000 or $30,000 worth of coverage – depending on the value of your belongings.

Most renters insurance coverage for electronics is capped at around $2,500. Jewelry limits are usually lower, at $1,500. If your electronics or jewelry exceed these limits, you should increase your limits or get an add-on rider.

Coverage
Included with renters insurance?

Dwelling/Structure
No – landlord responsible

Personal liability
Yes

Personal belongings
Yes

Loss of Use (additional living expenses)
Yes

High-end electronics/special jewelry

Limited, requires add-on*

Roommates
No

Cyber liability
Yes*

Water damage
Yes

Flood
No**

Wind or hail
Yes

Earthquake
No*

Pets
Yes*

*Available as add-on coverage if not part of policy

**Flood insurance is available through the NFIP and approved insurers

Specialty items may not be included

Specialty items like high-end electronics, special jewelry, furs, fine arts, firearms, specialty bikes, and cash may not be covered by renters insurance in the event of theft. According to Steve Wilson, senior underwriting manager at Hippo Insurance, these items may need a “personal article” endorsement or add-on rider.

It’s a good idea to take inventory of your furniture and personal possessions. Some renters insurance companies will have inventory lists for you to complete. If you have riders for fine art and specialty jewelry, you will be required to catalog and provide appraisals for them.

With personal jewelry insurance, you can ask your renters insurance to increase your limits, but “the amounts are …read more

Source:: Business Insider

      

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