Not Anticipating a Need for Renters Insurance? These 3 Reasons May Make You Think Otherwise

renters insurance

A 2014 survey of people who rent apartments, townhouses, or other types of property found that just 37% of respondents had a renters insurance policy. These policies protect renters from accidents, theft, and more, and they’re generally recommended by most landlords to protect their tenants. So why are so many people missing out on this crucial coverage?

For millennials, or those who are in their twenties or early thirties now, many don’t quite understand what renters insurance does. A survey by InsuranceQuotes.com, conducted by Princeton Survey Research Associates International, found that 37% of renters in that age group didn’t buy a policy because they didn’t understand how it worked. If you aren’t quite sure what you can get out of this type of insurance, no matter what your age, it may be time to do some research. Here are three reasons that you may need insurance coverage designed for renters:

  1. A renters policy can protect you from disaster. When it comes to sharing a living space, any number of things can go wrong. For instance, it’s easy for a fire to break out in one unit and quickly spread to yours, destroying your personal items with it. Even if a fire doesn’t make it to your apartment (because of fire doors in your building, perhaps), smoke can still do plenty of damage to furniture, clothing, and the unit itself.

  2. Insurance coverage can help safeguard against break-ins. No matter where you live, the safety of your belongings can always be unpredictable. Break-ins and burglaries can happen even in safe neighborhoods, so having coverage that safeguards against theft is a no-brainer. As an added bonus, many renters policies will also cover break-ins to a car, so if your laptop is stolen from a vehicle parked at the apartment complex, you’re covered for that, too.

  3. Coverage for renters is cheaper than you might think. Unlike car insurance rates, which are determined by a number of factors and can cost hundreds of dollars per year, renters insurance is typically one flat rate paid just once per year. It’s also probably cheaper than you think. When asked to estimate the annual cost of this insurance coverage, 29% of millennials thought it was around $1,000 per year when in fact the average premium is just $187 per year. That’s about the same cost as your annual subscriptions to Netflix and Hulu!

Getting quotes for a renters policy is often as quick and easy as getting car insurance quotes. If you don’t have insurance on your apartment, townhouse, or other rental home, make sure to look into this essential type of insurance coverage!