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While most homes or apartments you rent are going to require you to have some form of renters insurance in case of an emergency or accident; this does not mean you should skimp on the choices you make. Having coverage is great, but if you don’t have the right amount of protection; you could end up wasting money each month or losing personal items with no reimbursement whatsoever. Below are a few things to think about when purchasing renters insurance for the first time or updating your coverage.
Know What You Already Have
Many landlords are going to automatically have some sort of coverage on your home but that typically is only going to cover the building in case of fire or any other form of damage that will affect them directly. Oftentimes, this is not going to include the items that you bring into your new home, so before assuming you are covered, make sure to ask and see documentation. You work hard for the money you earn so make sure to give it the respect it deserves; the respect you deserve.
Be Careful when Shopping Around
Whenever looking for renters insurance, or any form of insurance for that matter, it is crucial that you take the time to check out various companies to get the best pricing, coverage, etc that you need. Do not only focus on businesses that you hear about on TV or the radio because a lot of times there are better options out there for you to choose from. Checking online and asking people you trust are just two of the many ways you can go about finding the right coverage for your family. A lot of the time, companies (such as Allstate, for example) will actually work with you and allow you to combine preexisting policies with new ones in order to get a discount.
Different Types of Coverage to Think About
If you are new to the insurance world or don’t feel you were properly educated on the subject in the past, here are a few different types of coverage to think about. This should give you a much better idea of what you are looking for. Every company is going to have unique titles for their types of coverage but here are some of the basics and what they each cover.
Protect Your Personal Items
Think of everything you own in your home: your television, the couch, that nice surround sound system you just purchased. Without coverage, if disaster were to strike, you could potentially lose them and receive zero cash to help you replace them. There is something called ‘off-premise’ coverage which is going to cover items not only when they are within your property but also when they leave the area, such as the laptop inside your car that goes along for the ride to and from work each day.
Get Reimbursed for Expenses
Many companies have coverage that will help you pay for increases in daily expenses if something were to happen to your home and you were forced to move out, as long as the incident is covered within your policy; such as a fire or natural disaster.
Liability coverage is great to have because it covers the expenses that occur when someone is injured at your home and sues you afterwards. If you’ve ever been to court before, you can probably relate to just how expensive lawyers, attorneys and all of those legal fees can be. It adds up right before your eyes and without the proper coverage; this would be all coming out of pocket.
Keep Your Guests Protected
Let’s say your best friend comes over to hang out for the holiday weekend and they trip and fall. If there are medical expenses surrounding the incident, having the right coverage is important because your insurance company may just pay for everything surrounding the incident so your friend doesn’t have to.
Fight against Identity Theft
Many of us go through life each day as though nothing is going to happen to us, saying things to ourselves such as, ‘nothing has ever been stolen, so why would that happen now?’ It’s almost as if we think we are immune to such tragedy but it’s impossible to know what tomorrow brings. Being protected against identity theft means you will be able to get back on your feet much quicker and avoid trying to pay for the legal process on your own. Identity theft happens more often than we’d like to think (about 15 million people are affected in a single year in the United States alone) and who has thousands upon thousands of dollars to hand over at the drop of a hat? Having renters insurance that protects us from identify theft is a crucial part of protecting you and everyone else in your family.
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George Smith-Davies works in the finance sector and has a lot of experience regarding financial matters. He says you must have a look at all the aspects of an insurance before buying it. You can also connect with him on google+ and stay updated.