I don't know anyone who would buy a home and not get it insured. So why are so many renters going without insurance for the place they call home?
The OC Register reported today that up to 65% of renters in Orange County go without renter's insurance. Those who have it often get the policy only because it's required by the landlord.
Many tenants are under the mistaken impression that the landlord's insurance policy will cover them in case of a loss, but that simply isn't true. Landlords will typically get enough insurance to cover the structure as well as a small amount of personal property in the home (to cover a washer, dryer, stove, etc.).
A standard renter's policy will cover the insured person's belongings in case of theft or fire, and often has some liability coverage included as well in case the tenant were to get sued. The liability coverage also includes any damage to the home or apartment caused by the tenant (such as a kitchen fire).
The policies are reasonably priced, and shouldn't be more than $100-150 per year. In fact, an insurance broker friend of mine knows one company whose multi-policy discount for car and renter's insurance combined is actually cheaper than the car insurance on its own. Go figure!
Please, if you rent or know those who do, consider bringing up the topic of renter's insurance. Risk to your home and belongings can't be predicted, and being prepared in advance is always a good idea.
The OC Register reported today that up to 65% of renters in Orange County go without renter's insurance. Those who have it often get the policy only because it's required by the landlord.
Many tenants are under the mistaken impression that the landlord's insurance policy will cover them in case of a loss, but that simply isn't true. Landlords will typically get enough insurance to cover the structure as well as a small amount of personal property in the home (to cover a washer, dryer, stove, etc.).
A standard renter's policy will cover the insured person's belongings in case of theft or fire, and often has some liability coverage included as well in case the tenant were to get sued. The liability coverage also includes any damage to the home or apartment caused by the tenant (such as a kitchen fire).
The policies are reasonably priced, and shouldn't be more than $100-150 per year. In fact, an insurance broker friend of mine knows one company whose multi-policy discount for car and renter's insurance combined is actually cheaper than the car insurance on its own. Go figure!
Please, if you rent or know those who do, consider bringing up the topic of renter's insurance. Risk to your home and belongings can't be predicted, and being prepared in advance is always a good idea.
Labels: insurance
posted by ocmortgageguy | 9:56 AM
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