When you rent, is your Personal Property covered by your Landlord if there is a loss?
Answer to that questions is, no!
Renters Insurance
Many uninsured renters are under the mistaken impression that their landlord’s policy covers their possessions. A landlord does not provide insurance for a tenants personal property. An exception to this can occur if the landlord was aware of a prior hazardous condition, failed to correct it in a reasonable time frame, and as a result your property was damaged.
If you are a renter residing in New York, by law the building owner is required to maintain insurance on the dwelling you rent. This means that the building itself is insured, and should something happen to this structure as the result of fire, water damage, etc, the building owner is entitled to file a claim. However, the landlord’s insurance does not protect you as a renter. If this same fire or water damage should ruin your sofa, clothes or other personal items, you are not protected against the loss of these items unless you buy a renters insurance policy. Moreover, if someone becomes injured while on the premises you rent, you could potentially be held liable for any medical and hospital expenses.
To protect yourself and your belongings, renters should consider purchasing renters insurance, also known as “tenants insurance.”
What is Renter’s Insurance?
Renters insurance, also known as tenants insurance, is a type of policy offered by most major New York insurers. These policies provide contents coverage and liability protection in the event someone becomes injured at your residence.
Cost
Renter’s insurance is generally less expensive than many people realize: a basic policy costs about $150 – $200 a year for around $50,000 worth of property protection.
Coverage
Coverage generally provided under a Renter’s Policy includes:
- Personal Property
- Loss of Use
- Personal Liability
- Medical Payments to Others
Renter’s insurance typically covers loss or damaged caused by:
- Fire
- Smoke
- Theft
- Vandalism
- Windstorm or hail
- Lighting
- Explosion
- Falling objects
- Weight of snow, ice or sleet
- Water (plumbing failure, appliance failure, fire sprinklers or other accidental discharges of water)
- Electrical surges
It also may cover:
- injuries that others sustain while at your home (including medical expenses and any resulting lawsuits)
- damage that you may cause to other people’s property
- living Expenses. If your rental unit is damaged and you need to live elsewhere during repair
Your renter’s insurance policy will generally pay to replace any property that is stolen, damaged or destroyed by a covered cause, subject to any policy limits or exclusions. This includes, but is not limited to:
- electronics
- clothes
- furniture
- sports equipment
- appliances
- jewelry (limited)
- collectibles (limited)
Important Note: Renters insurance often protects your belongings even when you’re away from home. So, if your laptop is stolen from your car or your bike gets taken from the rack at work, your renters insurance may pay to replace them.
Things to Remember
Before purchasing a renters policy, conduct a complete inventory of all your personal belongings, taking photos or a video of things like furniture, jewelry and expensive electronics items. Calculate the replacement costs for these items and double check with your insurance agent to make certain you are fully protected against any type of loss.
Choose the coverage according to your property. If you have a lot of electronics, choosing a policy that provides replacement cost coverage instead of actual cash value coverage might be the best option for you.
Like they do for homeowners, most insurance companies offer discounts to a rental policyholder to lower the cost of premiums. They may offer discounts for smoke detectors, dead bolts or even if you have your Automobile coverage with the same carrier.
Give our Personal Lines Department a call today at (845) 246-7134 to discuss your needs for Renter’s Insurance.