When you are a renter, the things you own, such as your furniture, clothes and electrical items, are part of the things that make your place a home. Therefore, looking after these items and ensuring that your possessions are protected is essential. We will look at whether or not renters need home insurance to cover their possessions.
Renters might be under the impression that their belongings are protected under the landlord’s insurance. However, this is far from the truth; renters will need to have their own household contents policy. Issues such as fires or theft could occur when renting. When they occur, you will need to have your belongings like furniture, jewellery, clothes and jewellery insured in the event of a disaster.
There are mostly two types of home insurance; buildings insurance and contents insurance. Buildings insurance will cover bricks and mortar of your home and permanent fixtures and fittings, while contents insurance will cover the possessions inside your home.
For renters, you do not need to worry about buildings insurance as it is the landlord’s responsibility. With buildings insurance, it will cover the structure of the building as well as the exterior, fittings and fixtures, water system and central heating, all the things the landlord would be responsible for. Therefore, the landlord must protect their property from damage caused by fire, flooding and storms.
As the renter, when it comes to the rented home, it must be kept in good shape according to the tenancy agreement, as the landlord is responsible for maintaining the property through regular maintenance and fixing any plumbing issues.
When renting a home, you know that the possessions you have are what makes the place feel like home. While the landlord takes care of bricks and mortar, you may wonder what happens to your possessions. You will be responsible for ensuring that you get the proper insurance to cover your furniture and personal property, such as clothing and electrical items. Therefore, a home contents insurance policy is the best cover you can take as it will cover your valuables if they are stolen or damaged in a flood or fire.
When purchasing a home contents insurance policy, ensure that it contains third-party liability cover as it ensures that you are protected when someone is hurt when they visit you or when working on the home. These situations could put your current and future earnings at risk. You will have to pay for the additional third-party liability cover. However, it is worth it, especially if you also have pets.
Most people, especially those renting apartments, fail to get home contents insurance as they feel that the risk of being burgled is extremely low. However, they forget there is a high risk of another resident being negligent. Being negligent could include your neighbour leaving the tap running, which could cause flooding or causing a fire in the complex. In these instances, the landlord may cover the damage to the buildings’ exterior; however, without home contents insurance, the renter would not receive a payout if their possessions were damaged or destroyed.
It is important to note that home contents insurance will only cover the personal items inside your home, but will they also be covered when you take them outside the home?
You should check that the policy you get includes personal or portable possessions insurance. With this insurance policy, you will receive cover for things such as your watch, phone, laptop or jewellery if they were to be stolen or they are lost while you are out and about. You may sometimes include this kind of cover in your home contents cover; however, it is sometimes that you can typically add to the policy.
When renting property, it is a good idea to have accidental damage insurance as it will protect you from any accidents that you or your family might cause to the property. Accidental damage insurance will protect you from unintentional toddler artwork on walls or curtains and spilt wine on carpets. The insurance policy lets you receive cover to repair or replace things without losing your deposit. Accidental damage insurance may not be included in your home contents policy, so it is vital to check first. If it is not included, it is a good idea to add it as an extra.
With home contents insurance policies, they will typically indicate the maximum amount you can claim for one single item and the total amount you can claim if those items are destroyed. Therefore, you need to ensure that your level of cover is enough to protect all of your belongings. You must declare this to your insurance provider if you have high-value items and the single-item limit does not cover them. Some high-value items include camera equipment, expensive jewellery, computer equipment, laptops and mobile phones. The insurance provider will list these items separately on your policy to ensure they are covered for their total value. Keep the receipts for high-value items, as you will need to provide them when making a claim.
We also explore and provide a Guide to Home Security Systems for Renters.