Renter’s Insurance – Don’t Dismiss It
Are you renting an apartment or house in California? Then, you should consider purchasing renters’ insurance to financially protect yourself in the event that your possessions are lost to fire, theft and other destructive events.
When it comes to purchasing renters’ insurance, generally there are two options to choose from, replacement cost coverage and actual cash value coverage.
• Replacement cost coverage: This type of coverage is the most popular coverage, because your insurance payment usually covers the cost of replacing the item with a similar item of comparative quality, regardless of the age.
• Actual cash value: This type of coverage typically has less expensive premiums, but in the event of a loss, your insurance company takes into account depreciation and provides a payment to replace the item at current market prices.
A standard renters’ insurance policy also offers liability coverage, which is a vital consideration with lawsuits becoming commonplace. In the event someone is injured or harmed while on your rental property, liability insurance may help pay for your court costs and other related expenses.
Although you may not believe your possessions are valuable enough to bother with insurance, add up the total cost of their replacement. The amount you end up with is probably much higher than you expected. If you don’t have enough back up funds to cover that amount, you should seriously consider purchasing the financial protection of renters’ insurance.