Your landlord’s insurance covers damage to the building itself, not your personal property. You can purchase a renter’s policy as an extra measure to prevent theft or damage in a variety of circumstances that could happen at your home. As a top Insurance company in Texas, we at Charla Brotherton decided to throw some light on this important topic. The average Texas renter’s policy costs $20/month and we shall discuss some important facts related to renter’s insurance in Texas.
What does a renter’s insurance policy cover?
Renter’s insurance includes the following types of coverage:
- Personal property coverage: Covers your personal belongings this includes even property stolen during travel from your vehicle.
- Loss of use: in case you need to move out of your rented place temporarily, then the renter’s insurance will cover the losses in part or full.
- Personal liability: If either you or someone else gets injured in the property, then it pays for the legal costs in case you are sued.
Your landlord might ask for a renter’s insurance policy
Renter’s insurance is not mandatory under law. However, your landlord may require it and take steps to enforce this requirement if you are a tenant. Before signing up, make sure the company offers coverage on your belongings or has liability insurance that will pay if someone gets hurt in your home. If the company only offers liability, ask to read over the limit with them and make sure you’re covered by either of these options.
Your renter’s Insurance Covers What? This should be the most important question for you to answer. Make sure your policy covers at least: Loss of use of your property, vandalism or malicious mischief, protection from falling objects, and loss of use. Protection from falling objects and loss of use are the two coverage options that are most important to landowners.
They can include protection from harm caused by water, wind, hail, and lightning, as well as damage to crops or livestock. As a renter, always read the clause before signing the dotted line.
Always check the policy limits
There is a limit to how much your insurance covers. Please fill out the home inventory so that you can know the value of your belongings and purchase adequate coverage to protect your household. Some policies have limits in place for certain kinds of property, for example only $100 for cash or $500 for jewelry. Make sure to ask your agent about the specifics of your coverage and available upgrades if you need more protection on high-value items.
The items in your home are worth more than the insurance limit. In this case, your insurance policy may not cover any loss that would exceed the limit. Your premium will likely be higher as a result. We recommend purchasing an additional policy to protect yourself from high-value items you have in your home, such as jewelry and cash.
Floods are typically not included in renter’s insurance
There are a few exceptions, but generally, renter’s insurance does not cover losses due to floods. One of the only exceptions is for those who purchase federally-backed flood insurance. To learn more about this visit the National Flood Insurance Program website. Another option to consider is having a personal umbrella policy.
This is similar to renter’s insurance in that it covers you against most catastrophic events, but not all. Umbrella policies are typically much more expensive than standard homeowners insurance, but they have the advantage of being flexible in terms of what they cover.
If you’re considering a personal umbrella policy as an option, be sure to shop around for the best deal. At Charla Brotherton, we provide you with a low-cost umbrella policy.