There’s so much to consider when moving into a new rental, from deciding on the perfect spot for your fiddle-leaf fig tree to planning your bedroom decor. Amidst all of this, don’t forget about renter’s insurance.
Myth #1: Your Policy Covers Your Roommates’ Belongings
Truth: Renter’s insurance protects only the person named on the policy, not every occupant of the property. Each roommate needs their own renter’s insurance policy to safeguard their possessions.
Myth #2: Your Insurance Covers Building Damage
Truth: As a renter, your insurance does not cover any part of the building or structure you live in but don’t own. If a break-in occurs and your belongings are stolen, your insurance covers the stolen items, but the damaged window falls under the landlord’s insurance.
Myth #3: “Loss of Use” Coverage Handles Total Cost of Alternative Accommodations
Truth: Additional living expenses or loss of use coverage is meant to handle extra costs incurred because of an insured event, beyond your regular living expenses.
Myth #4: Renter’s Insurance Protects All Your Possessions
Truth: A standard renter’s insurance policy likely covers most of your belongings, but specific high-value items may have limited coverage or require additional protection (e.g., electronics, sports memorabilia, jewellery, collectables, computer software, and bicycles).
Myth #5: You Can Purchase Insurance After an Incident Occurs
Truth: Similar to other insurance types, you must have a renter’s insurance policy in place before any event necessitating a claim occurs. Consult a licensed insurance broker to secure coverage before moving in, just to be safe.
Conclusion: Consulting a licensed broker when searching for coverage is an excellent way to ensure the information you receive is reliable and current. We can assist you in finding the ideal coverage for your needs and dispel any other myths that arise during the process.