Most people tend to believe that renters insurance isn't very important. However, you should reconsider this thought.
The easiest way to define a renters insurance is that it works just like the homeowner's insurance, but it's meant for renters.
So, when a landlord rents out their house may have a homeowner's insurance and he may even have a landlord policy. Nevertheless, the renters are the ones responsible for having their own insurance to cover personal belongings and liability for incidents that happen in the time they are leaseholders.
What Is Renters Insurance?
Renters insurance is the kind of insurance that covers your personal belongings. One of the things that many people don't know is that renters insurance covers your belongings when they are inside the house as well as when they are outside the house.
Just to give you an idea, it cost approximate $20 a month. As you can see, this is an affordable insurance that can prevent you a lot of headaches.
Buy Renters Insurance to Protect You in The Case Of Theft
In case you have some items that got stolen, whether they are inside your home or not, with a renter's insurance you will be protected. This means that, in most cases, you'll get a deductible that will help you get new items. However, if you live in a complicated area, you may have your renter's insurance to receive up to the replacement amount and not just the estimated cash value at the time of damage or loss.
The Difference Between Replacement Amount and Cash Value Amount
One of the most common questions insurance providers and an insurance agency gets is related to the difference between the replacement cost and the cash value.
For example, let's say that you just got your laptop stolen. In case you have a policy that covers the replacement amount, have paid the price of the deductible to replace my old laptop with a brand new one. On the other hand, if your policy covers the cash value amount, you would only get the estimated value of the laptop when it was stolen.
The reality is that replacement values tend to be more realistic than the estimated cash value. After all, if you think about the laptop example, in case you were stolen, would you still buy the exact same model, brand, and year. It's not very likely unless it was brand new.
In case you are looking to protect your personal belongings and you are a renter, then you should definitely check out an insurance agency or simply compare different insurance providers to determine which one allows you to get an affordable insurance.
You can find the best renters insurance rates at RL Jones Insurance and MVS, stop by and get a free quote with us.