What Does Renters Insurance Cover?
With the AARP® Homeowners Insurance Program from The Hartford,1 home and apartment renters can choose from a range of popular coverages. After all, your belongings still need to be protected, even if you do not own a house. Renters insurance coverage includes:
- Personal property
- Personal liability
- Medical payments
- Property damage to others
- Additional living expenses
Renters Insurance Coverage Breakdown
Renters insurance coverage targets specific areas of need for renters, including:
Personal Property. This coverage helps protect items such as furniture, clothing and appliances that may have been damaged. For example, while out with friends, a kitchen fire in a neighboring apartment caused smoke and water damage to your apartment. Personal property insurance helps pay the costs to repair or replace such items that are damaged in a covered event.
Personal Liability. This coverage helps protect you in two ways. First, it helps cover legal judgments against you for bodily injury and/or property damage that you are responsible for, up to your policy limits. Second, it also helps pay expenses associated with your legal defense in a liability claim. For example, if someone slips on a rug in your apartment and is injured, they may file a claim against you. Personal liability coverage can help pay the costs of your legal defense.
Property Damage to Others. Rental insurance can help cover expenses when you accidently damage or break property that doesn’t belong to you. For example, you inadvertently cause damage to a hotel room or other venue. Renters insurance can help cover the costs involved in repairing or replacing it.
Loss of Use. This coverage helps pay your extra living expenses up to policy limits if you cannot live in your rental property due to a covered loss. For example, a fire in the unit next door causes your apartment to be unlivable and you need to find temporary housing elsewhere that costs more than your current rent. This policy can help cover the added expenses.
Additional Renters Insurance Coverages
In addition to the coverage mentioned above, there are additional rental insurance coverages available, including:
ProtectorPLUS Zero Deductible Benefit. This coverage is included with our renters insurance and waives up to $5,000 of your rental insurance deductible if you experience a qualifying loss of $27,500 or more.
This coverage does not apply to special deductibles such as hurricane, earthquake, coalmine subsidence, special wind/hail or optional special theft deductibles.
Replacement Cost Coverage. This coverage helps pay for a brand new item to replace one that was stolen or damaged. Compare this coverage to actual cost value coverage (ACV) which pays out based on the value of the possession at the time it was stolen or broken. An ACV payout is often less than the value to replace the item with a new one.
Valuable Items Blanket Coverage. This coverage is available to insure specific valuables up to certain limits. It is an additional coverage that provides extra coverage for your most valuable items such as jewelry, furs, silverware, china and crystal.
Personal Injury Liability Coverage. Helps cover you from damages that arise out of libelous or slanderous accusations and charges.
Earthquake Coverage. Depending on what state you live in, you may have the option to purchase earthquake coverage. This can help cover the cost of damage to possessions as the result of an earthquake.
Water Backup. If your rented property is damaged by water backup or sump pump overflow, this insurance will help cover the damage costs.
How Much Renters Insurance Coverage Do I Need?
To determine the renters insurance coverage you need, you will need to know the total value of your items. To do this, start by creating an inventory of your things. Your inventory can be a list or a spreadsheet that includes information for each item, like:
- The name of the item (include model number)
- The date and location the item was purchased
- How much the item costs and its current value
- Replacement cost of the item
- The current condition of the item
- Any serial numbers associated the item
Store this inventory list somewhere other than your home. For example, store it in a safety deposit box. Photographs of each item can be helpful in making a
claim, as they prove ownership. Get additional help making an inventory and preparing for a
natural disaster.
What Is Not Covered by Renters Insurance?
Renters insurance does not cover:
- Personal property loss over your coverage limit
- Liability protection over your coverage limit
- Damage to the structure of the rented building
The complete list of what is not covered is included on your policy. Certain items can have coverage limits. This refers to the maximum amount of money a company will pay in the event of a loss to an insured item. Examples of items with coverage limits are cash, jewelry or firearms. To determine the appropriate coverage limit for your items consult your home inventory list. This list outlines what each item is worth. The total value to replace all items on the list can give you a good idea of how much coverage you need.
Agents can also help you determine correct limits. Talk to an agent at The Hartford today.
Popular Coverage Options to Meet a Tenant’s Unique Needs
Equipment Breakdown Coverage – If an appliance, system or piece of electronic equipment in your rental breaks down for mechanical reason, this coverage helps pay the cost of repairing or replacing it.
Valuable Items “Blanket” Coverage – Removes the hassle of scheduling an appraisal for the valuation of unique items such as jewelry, watches, artwork and expensive dinnerware while offering great coverage. It also provides coverage for added perils such as mysterious disappearance or breakage.
Identity Fraud Expense Coverage – If you’re a victim of identity theft or fraud, this coverage reimburses you for out-of-pocket costs that were needed to restore your identity (see your policy for limits). This includes lost income and legal fees.
Water Backup and Sump Pump Overflow – If your rented property is damaged by water backup or sump pump overflow, this insurance helps cover the damage costs.
This does not provide coverage for water damage caused by direct or indirect flooding. It also does not provide coverage for water backup of sewers. Any drain, overflow or discharge of a sump pump caused by flooding is likewise not covered.
Scheduled Personal Property – This insurance provides 100% protection for unique items that require separate coverage to insure their full value. It also provides coverage for added perils such as mysterious disappearance or breakage.
Not all features and benefits are available in all states. Conditions and exclusions apply.
