Will My Renters Insurance Policy Cover Power Surge Damage?
Renters insurance protects your belongings from damage and also offers liability coverage. With all of the electronics many of us own, using surge protectors is now a common practice. However, there are times when they don’t work the way they should. Understanding what your renters insurance covers is very important. This policy does not usually cover damage caused by power surges.
When Is Power Surge Damage Not Covered by Renters Insurance?
A power surge is a sudden rush of electricity through the electric outlets in your home or apartment. Most landlords will hire an electrician to visit their apartments and check all of the outlets before letting a new tenant move in. In addition, many new renters will ask for the installation of surge protectors before moving in to protect themselves from financial loss.
When Are the Damages Covered?
Though your renters insurance may not cover the damages caused by a power surge, it will cover any damages that may be caused by lightning. If your apartment building is struck by lightning, your renters insurance policy will cover the resulting power surge. Short-circuit damage is also covered when it affects your electrical appliances. A short-circuit can not only cause damage to your appliances, but it can also spark a fire. Understanding the difference between a regular power surge, a lightning strike, and a short-circuit will help you identify the damages that are covered.
How Does Renters Insurance Protect Expensive Electronics?
The coverage limit for large ticket appliances and electronics tops out at $2,500 with most renters insurance policies. Unfortunately, this may not be enough to replace them if they are damaged or stolen. Thus it may be in your best interest to buy additional coverage for such electronics. Without this “additional” coverage, you may have to pay a part of the replacement value out of pocket.
All-Perils Vs. Named-Perils
A named-perils policy will only cover your items for the types of damage listed in the policy. On the other hand, an all-perils policy will cover all types of perils unless they are listed exclusively in the policy. With an all-perils policy, every peril that is covered will be reimbursed up to the limits of the policy, whereas with a named-perils policy, you need to know what perils are listed in your policy, especially if you have a large number of expensive electronics.
What Does Renters Insurance Cover?
A renters insurance policy covers your personal belongings as well as any other liability that you may incur if someone visits your home. This includes any medical bills they may have to pay or any damage to their personal property. It will also cover any temporary living expenses you may incur if you have to leave your home while the repairs are being made.
If you are a renter and are curious about what your renters insurance covers, contact our experts at Remland Insurance Services, Inc. today. We will help you understand your policy and ensure that you get the coverage you need at affordable rates.
