I Am Renting a House, What Coverage Do I Need?

Whether you are new to renting or an experienced tenant, there is a certain amount of risk involved. For instance, just because the landlord has home insurance, doesn’t mean your possessions are covered. Renters insurance policies can, not only offer you a safety net for your belongings, but provide protection for you if you find yourself homeless after a disastrous fire or storm.

The first thing to do when choosing a policy is to create an inventory of everything you own. This includes clothes, electronics, furniture, and any other possessions in the home. Be sure to include the value of each item as well as pictures and model numbers of the high-priced items for your records. Compiling a thorough list in the beginning may seem tedious, but it will help you calculate the amount of coverage you want to buy and speed up the process of claims if you ever need to make one.

Types of Policies:

There are two types of policies you can hold.

Actual Cash Value (ACV): This policy takes into consideration the current market price of the item you lost when filing a claim. It can be considered synonymous with the fair market value of that item and factors in the depreciation of the item you had.

Replacement Cost Value (RCV): This policy pays you today’s retail price, or what it would cost to replace the item with a similar product on the market now. We recommend choosing this option if there is not too much of a difference in monthly premium, as the payout is typically much higher and can give you more confidence you’ll be able to replace the lot of your possessions.

What You Want Covered by Your Policy:

Personal Possessions – Personal belongings are covered from theft or damage inside and outside of the property. This includes items such as clothing, furniture, and electronics.

Liability – If there is an injury suffered within your rental and a claim is filed against you, this coverage will help pay for medical and legal expenses. It will also cover any costs if you or your children accidentally damage someone else’s property.

Additional Living Expenses – These living expenses include hotel bills, temporary rentals, and meals if the rental property has been deemed unlivable due to certain disasters.

Picking a policy

Fortunately, if you work with a professional, picking a plan can be simple and take very little time. Our Orlando insurance team has extensive knowledge of available plans. We will speak to you about your current needs and budget to match you with the appropriate plan, so you don’t have to guess the plan you picked covers everything that’s important to you. To get started with a free quote, give Corkhill Insurance a call at 407-898-8891.