When choosing a renters insurance policy, you must determine whether the policy covers your belongings and, of course, fits within your budget. Always obtain multiple policy quotes and compare them before signing a contract. The below tips will help you choose a policy.
1. Check for Specialty Coverage
Sure, the policy coverage amount will more than cover the cost of your belongings, but does it cover everything? You might be surprised at what is excluded from coverage; antique and other jewelry, high-cost items and other specialty items might not be covered. This means that you’ll be out of luck if Aunt Jane’s diamond ring gets stolen.
2. Check for Flood Coverage
Does the policy cover your belongings if they are damaged by a flood? Does it matter where the flood originates? In response to the hurricanes from years past, many insurance companies do not provide flood insurance. Coverage for water damage may require a separate policy or a higher premium.
3. Consider Roommates
An insurance policy only covers the insured, which means that if you have a roommate and their belongings are damaged, you might end up paying your roommate. Read through the policy to determine if it covers all belongings within the rented space or only your own.
4. Consider Your Representation
Does the insurance company have a local representative, or are you dealing with an out-of-state company? This makes a big difference when it comes to pricing and claims. Local agents usually offer lower premium prices because they are familiar with the area and will also help you out if you have a claim.