When renting a home or apartment, tenants insurance is crucial for both property and liability protection.

Whether for a person starting out renting their first place, or a family renting a full home, a comprehensive tenants policy is what is required to meet your insurance needs. Your landlord’s insurance coverage on the building will never extend to cover your furniture and personal belongings.

Additionally however, liability coverage is of utmost importance. If you were to cause a loss to the building, such as a fire or water damage, the liability coverage included in the policy is what protects you from that potentially huge legal liability exposure. It also covers against bodily injury, should you be sued after a guest or third party be injured on your premises.

Coverage Considerations

  • Replacement Cost Coverage – The limit on a tenants policy is chosen by the policyholder, making it important to estimate a replacement cost limit (ie. – buying everything brand new with no deduction for depreciation) for your contents. Completing a Personal Property Inventory is the best means of doing this and also is a great resource to refer to, in the event of a claim. See our Personal Insurance Resources page for that form.
  • Additional Living Expense Coverage – Just as with home and condo policies, ALE coverage is included to cover expenses incurred, should your home be uninhabitable to due an insured claim. Getting a hotel while repairs are being conducted, storage fees, meals, or additional transportation expenses are common.
  • Roommates – It is very common for renters to have roommates who are neither family or a spouse. Typically you would each be responsible for obtaining your own separate tenants coverage, and roommate occupancy is something that needs to be outlined to your insurance company.