What is Renters Insurance?
Renter’s insurance covers people who are not owners of the property. It is provided for protecting personal belongings as they stay on the property or in the home. The landlord is only required to cover the building and any structure within the property.
Therefore, in case of theft and personal property damage, you need to have renters insurance. Renters insurance will refund all the replacement costs for lost or damaged items on the property.
You can also extend your insurance to cover special items such as artwork, jewelry, cameras, and other valued accessories.
What Does The Homeowners Insurance Cover?
- Dwelling Coverage
Perhaps the most significant factor that differentiates homeowner’s and renter’s insurance is the dwelling coverage. The coverage covers any structural damage to the home. It could be a smashed window, a broken door, and any other structure.
The coverage similarly extends to gardens, garages, and fences. Some damages may not be eligible for a payout. That is why there exist “covered events” and “named peril,” which should be directly paid by your insurance. They include natural phenomena such as hailstorms and winds, which are the frequently occurring dangers.
- Personal Property
Homeowners’ coverage will also protect your belongings in your home. The object does not have to be within your home—the policy can also cover personal property stolen from your car.
In many cases, the price is bundled together with the dwelling coverage, and you only have to determine the amount of funds you will add or deduct from your policy.
- Personal Liability
In the case of someone getting an injury at your home, or if you get sued for personal damage within your home or property, the personal liability will come in handy to cover for you. The amount payable may vary depending on a few factors.
You may end up paying more if you have an aggressive pet that may cause harm to other people or if you have a few items and structures that pose dangers to individuals in your home.