Renters’ insurance policies provide a lot of the same coverage as homeowners’ insurance. It usually includes:
Personal possessions coverage: This coverage helps reimburse you for belongings lost or damaged due to a disaster. Your landlord’s insurance typically won’t cover your items.
Liability protection: Liability protection assists in cases where bodily injury or property damage occur within your rented property.
Additional living expenses (ALE): This coverage helps pay living expenses if you must live elsewhere while the apartment building or other rented property is under repair.
Pet liability: Pet liability protects you in case your pet causes bodily injury or property damage. Landlords may require you to carry pet liability insurance. There are some limits to this coverage concerning exotic animals and certain dog breeds, so be sure to check with your landlord about their pet policy.
Accidental damage: This coverage depends on the insurance carrier and the policy, but most renters’ insurance policies will offer accidental damage coverage. It can extend outside of the property, as well, like in cases where your child damages a neighbor’s property.
You don’t have to purchase property insurance for a rented property since that’s the landlord’s responsibility. A landlord is responsible for insuring the dwelling itself, but their insurance won’t always protect your belongings. Perils covered beneath renters’ insurance typically include fire, smoke, windstorms, hail, theft and vandalism. Some water damages are covered beneath a renters’ insurance policy, such as if a pipe bursts, but flood insurance typically isn’t included. You can purchase separate flood insurance to protect your belongings from flood damage.