Compare Renters Insurance

How do you compare Renters Insurance?

You don't need to own the home you are living in to take out an insurance policy. Some landlords will ask you to have a Renters Insurance policy in place before you move in. Even if your landlord doesn’t request renters insurance cover, it will help protect you and your personal items in the event that they are stolen or destroyed. If this is the first time you are getting a Renters Insurance quote, you may be confused by all the different carriers and quotes available. Read our report on the cost of renters insurance to see what you can expect to pay. So how do you compare Renters Insurance and find the lowest price and the best coverage?

The Insurance Information Institute recommends getting a number of Renters Insurance quotes from at least three different insurance companies to compare prices. This is where our online renter’s insurance quote tool can help. Simply enter your details and we will search the leading insurance carriers like MetLife, Lemonade, and many more. Price is an important factor when choosing insurance, but you should also consider the level of cover that a policy provides. For example, if one carrier has a policy costing $190 and a level of cover of $20,000, is this enough to cover your personal belongings? Is it better to go for the policy that costs $210 with a level of cover for $25,000? Be sure to compare the level of coverage and price, and make your selection based on what will give you the correct coverage.

Here are the three basic levels of cover that most carriers offer:

Coverage for Personal Possessions

Coverage for your personal property is a key detail of renters coverage, protecting you from fire, theft, and other tragic events. Make sure you have enough insurance to cover all of your personal belongings in the event of any of the above. Create a list of all your personal items to create an inventory. Try to put a monetary value on each item.

Actual Cash Value vs Replacement Cost Policies: Actual Cash Value policies will allow for depreciation, so what you paid for the item, minus a deduction. Replacement Cost coverage is more expensive but it will reimburse you for the price you initially paid for the items. It could be worth the extra premium cost if all of your belongings are destroyed in a fire.

Liability Protection

Renters Insurance Liability Protection covers you against any lawsuits for personal injury or property damage caused by you or your family. This would usually cover the cost of defending you in court if required up to the maximum limit on your policy.

If a larger amount of liability protection is needed, you might want to purchase a Personal Umbrella Liability Policy. This type of policy will take over if or when you reach the limit on the original liability coverage.

Additional Living Expenses

Additional Living Expenses (ALE) policies provide coverage if your rented house is destroyed by an insured disaster and you need to live somewhere else for a certain time.

The ALE portion of your rental insurance policy can pay for meals, hotels, other rental properties, and any other costs associated with moving out of your rental home during the repairs. In simple terms, it will cover the costs you would not have to consider if you were still living in your existing rental home.