Renters Insurance

3 Myths and 3 Truths about Your Renters Insurance

There are several misconceptions about renter’s insurance, so let’s set things straight. First, the following are three renter’s insurance myths we want to dispel:

The Landlord’s Policy Covers Your Stuff

Landlords usually carry insurance, and although you can’t be sure about that until you see the actual policy, you can’t rely upon their coverage to take care of your stuff in a disaster. Why? Because a landlord’s policy usually only covers the building’s structure and possibly some additions like the fridge or the dishwasher if the landlord indeed owns them. Are far as your possessions are concerned, if a fire wipes them out, you won’t be able to look to the landlord’s insurance for relief. If you are a landlord, then its important to compare landlord insurance and save since it can be pricey depending on the contract you're in. 

It’s Expensive

Just because your parents’ luxury home insurance costs $4000 annually doesn’t mean your renter's insurance premium would be anywhere near that amount. Instead, think $200 to $400 per year to cover $50,000 of your possessions. That’s a great deal that you should not pass up.

Your Roommate’s Insurance Will Cover Your Stuff

This is just not true. While your roommate’s renter’s insurance will pay for his or her items if they are lost in a disaster like a fire or a tornado, your stuff will not be included unless your name is on the policy also. Yes, roommates can share the cost of renter’s insurance, but make sure that the policy specifically states that it covers your things also.

Now, here are some truths about renter’s insurance that should convince you to have some:

Your Landlord May Require That You Have It

Read your lease, and if it says you have to produce proof of renter’s insurance coverage, you better do what it says. If you are required to carry renter’s insurance, and you don’t get it, you will be in default of your lease and subject to eviction. In some odd cases, if you are supposed to have insurance but fail to do so, the landlord may have the right to buy it for you, and the insurance they would provide is usually expensive and doesn’t cover what normal policies would.

Your Insurance Covers Your Stuff Wherever You Are

For example, if you are travelling and lose a piece of jewellery, your renter’s insurance may cover that. Do check your policy carefully, however, as some more expensive items like musical instruments or jewellery need to be listed separately or “scheduled,” which may raise your premium slightly.


If you invite friends over, have a repair person on the premises, or if the Amazon delivery person comes to your door, you can be personally responsible for what happens to them while they are on your property. If the plumber slips on a puddle of water, a good lawyer can make that your fault in a hurry, so you need renter’s insurance that will pay for accidents.

One thing you should not skimp on is insurance coverage, so make sure that even if you just rent, you talk to an agent to get the proper coverage for you and your apartment, no matter whether you’re living in a Minneapolis apartment or a Dayton two-bedroom apartment. Just because you are not wealthy doesn’t mean you should ignore getting good renter insurance coverage.