Most people view home, health, and auto insurance as an obvious must-have. That is not necessarily the case when it comes to renters insurance. Many people have a harder time seeing the value that renters insurance provides.
The Insurance Information Institute reports that only 37% of renters purchase renters’ insurance. Compared to the 97% of homeowners that have home insurance, that statistic is shocking. When it comes to renters insurance, there are many mistakes you can potentially make.
Continue reading to learn about the mistakes you should avoid making when it comes to renters insurance.
Deciding Not to Purchase Renters Insurance
Many people choose not to purchase renters’ insurance for many reasons. They may think it costs too much, that because the house has a decent security system set up, they do not need it. Or, it could be that they believe they do not need insurance because their belongings are “valuable” enough, or they believe the owner of the unit’s insurance will cover their stuff. None of these reasons are valid or accurate. Contrary to popular belief, renters insurance is affordable. Even if your landlord does not require you to purchase renters insurance, it is wise to protect your belongings.
Not Getting a Flood Insurance Add-On
Most standard renters’ insurance policies do not cover damage from flooding. It is wise to make sure your belongings are covered if your home were to flood. Even if you are not in a high-risk flooding area, you may want to consider it, still. Over 25% of flood losses happen in places considered “low-risk.” Before renting, look into whether or not the property is in a flood zone.
Underestimating the Worth of Belongings
When purchasing renters’ insurance, make sure you accurately estimate the worth of your personal belongings. Many people do not buy enough coverage to replace all of their items. To avoid this, accurately calculate how much your belongings are worth and purchase enough coverage.
Not Doing Your Homework
It is wise to shop around for insurance. Make sure you get a few quotes and ask your friends and family for recommendations before you pull the trigger. Checking online reviews can be telling, especially when it comes to whether or not the company was helpful and responsive when a claim is filed.
Not Protecting Yourself from Liability Claims
If you do not have renters insurance, you cannot protect yourself from any liability claims that may come up. Renters that have an aggressive dog, a swimming pool, uneven or slippery paths or walkways, and serve alcohol to their guests, should consider purchasing renters insurance. Standard liability claims that arise against renters often include those listed above.
Contact Bear River Insurance
Because life is full of unexpected circumstances, it is important to protect yourself, your family, and your belongings. We, at Bear River Insurance, are here to help you prepare for the unknown road ahead. You will be well taken care of and have the peace of mind you and your loved ones deserve. Contact the team for all of your home, auto, and renters needs today.