What is Renters Insurance?

What is Renters Insurance
Renters insurance can provide peace of mind during unexpected events.

Renters insurance is a type of insurance that can cover the policyholder’s physical belongings, liabilities, and certain living expenses for covered events. Policyholders are tenants who are renting or subletting rental property including single family homes, apartments, condos, etc.. It can protect tenants in cases of unexpected events like theft, injury, and property damage. Most renters insurance policies cover three primary areas:

Personal Property

Personal property covers the cost to repair or replace the things you own when you have an unexpected event like theft or damage. Your policy will help pay for the cost to repair or replace your belongings up to your policy limit. Most personal property coverage is subject to a deductible. You will have to pay up to your deductible before the insurance company covers any loss. When you purchase renters insurance, you determine your policy limit based on the value you place on your stuff. Your belongings include things like clothing, furniture, and electronics.


Liability is coverage that will protect you when you are at fault for guest injury or property damage. For example, if your guest trips and falls over a cord you have placed on the floor, you may be held responsible for your guest’s medical bills. Liability coverage can help you pay for those bills. Liability coverage is subject to limits that determine the maximum the insurance company will pay for a covered event.

Living Expenses

If your rented home is damaged then this coverage can help pay for your living expenses while your home is uninhabitable. Renters insurance will cover expenses like hotel bills.

You do not expect there to be problems when you are a tenant. Renters insurance is one way to provide some peace of mind to to help you during these unexpected events.