Hignell Rentals Blog

The 3 Step Guide to Renter's Insurance

Written by Hignell Rentals Team | May 24, 2019

Renter's insurance isn’t just for the worry warts, nerds, and type-A’s of the world. It's actually an incredibly smart and practical resource to have in your corner, especially for those unpredictable (costly) moments in life.

Skipping two Starbucks drinks a month could be what stands between you and the financial loss of that $1,800 Mac Book Pro you so dearly love, or the family heirloom bracelet your grandma gave you, or even the sum total of your entire living room. Accidents happen, theft happens, and natural disasters definitely happen.

Don’t be naïve about renter's insurance -- give up one restaurant cheeseburger a month, and buy into a plan that could save you from serious financial setback. Check out this easy 3 step guide to get started.

Step 1: Take Inventory

First, you’ll need to take inventory of your things to analyze what kind of protection you'll need. Perform an inspection of your home by making a list of things and their monetary value

Most people don’t think that they have much to replace, but when you look around your rental, you'll find that you have thousands of dollars' worth of belongings that you would need to replace in case of a fire, smoke damage or other instances that could destroy everything that you own. This includes everything -- right down to the spoons in your drawer and the clock on the wall. 

The list you create is important to have before you call for quotes. Giving specifics, and even serial numbers, can help the representative you contact figure out how much coverage you should have versus what you can afford.

Step 2: Check Out Your Options

It's important to know the difference between the two types of renter's insurance: Actual Cost Value and Replacement Value.

Actual Cost Value: Takes the depreciation of the item into account when deciding how much money you would receive to replace the item.

The Replacement Value: Will evaluate how much it would cost to replace those items lost and that is the amount you’re given. This type of coverage tends to cost more.

Both are good options, choose which is best for you! The average cost of renter’s insurance is $15-$30 a month. This gives you good coverage not only to replace your own belongings but gives you liability coverage if you're the reason why there was damage or loss to somebody else’s property.

Take a look at your monthly budget and choose which expense you can take out so that you are able to afford $15 dollars a month.

Step 3: Protect Yourself

Search around for the best quote. There are several insurance agencies that can sell renter's insurance to you. The process is rather easy and coverage for your rental can be a phone call away. An agent will ask you basic questions, you'll make an initial payment and boom! You're covered. Get a few quotes from different places online, and make the call.

Need More Info?

If you would like a more in-depth resource on Renter's Insurance, download the free resource below. We understand that every penny counts, accidents can be scary, and insurance is a great peace of mind solution. We encourage you to give it a read. After all, rental living can be very unpredictable.