Considerations for Renters Insurance

What to think about when securing renters insurance.apartment buildings

If you are living in a rented space, then you need the protection offered by renters insurance.  This is because your renters insurance will protect your belongings and personal liability—things that your landlord is not obligated to protect.  Before you shop for the right renters insurance policy, here are some of the things to think about.

  • Should you secure actual cash value or replacement cost coverage?

Actual cash value refers to the cost if an item with depreciation taken into account.  Replacement cost refers the purchase value of an item without depreciation.  When you secure renters insurance, you have the option to secure coverage for your belongings’ cash value or replacement cost value.  Please note that, because replacement cost policies offer more coverage, they will be more expensive than their cash value counterparts.

  • Are you prepared for the worst?

Many renters rely on basic policies as a way to save money.  However, if disaster does strike and you do not have sufficient coverage, then you will be left paying for losses all on your own.  To ensure that you are ready for anything, you should imagine the worst-case scenario and ensure that you have the right renters insurance to deal with this situation.  While this might mean securing flood, earthquake, or other supplemental coverages, it’s worth it to be completely protected.

  • How high will you set your deductible?

When you secure renters insurance, you will need to select a deductible.  A deductible is the amount of money that you agree to pay towards a claim before you can access your insurance coverage.  When you select a higher deductible, insurers reward you by lowering your premiums.  While it may be tempting to set the highest deductible possible, do not set your deductible higher than you can actually afford to pay.  Setting your deductible too high could prevent you from securing coverage when you need it the most.

These are some of the things you should think about before securing renters insurance.  Do you need help securing this essential type of coverage?  If so, then contact the experts at ISU-Wissink Insurance in Culver City, California.  We are ready to assist you with all your personal insurance needs today.