5 Myths About Renter’s Insurance
According to the Insurance Bureau of Canada, about half of all renters don’t have renter’s insurance. Since it isn’t mandatory, this type of coverage is often overlooked.
In large part, this may be due to the fact that there are a number of misconceptions about how renter’s insurance works. Here are five of the most common myths about this type of protection.
1. Your landlord’s insurance covers you
Many renters mistakenly believe they’re protected by their landlord’s policy. However, in reality, this insurance only covers damage to the building itself, not your personal belongings.
2. Your roommate’s insurance covers you
Unless your name is listed under your roommate’s policy, you’re not covered. Each tenant is responsible for their own insurance to protect their belongings. Plus, if you have your own policy, you’ll get customized protection that meets your specific needs.
3. You need a lot of stuff to justify having renter’s insurance
Most people don’t take into account the monetary value of their belongings. However, you should consider that the cost of furniture, clothing, appliances and personal electronics can quickly add up. On average, most renters have at least several thousand dollars worth of items and goods.
4. Renter’s insurance only covers your belongings
Many renter’s insurance policies cover more than just personal belongings. They also provide liability coverage and protection against property damage. Among other things, this additional coverage offers financial protection if you accidentally injure someone or damage another person’s property.
5. Renter’s insurance is expensive
The average cost of renter’s insurance is around $200 a year. If you think about it, this is extremely affordable compared to the thousands of dollars you may have to spend to replace your belongings. In addition, many insurance brokers offer discounts if you add renter’s insurance to an existing insurance policy.
If you’re trying to decide whether or not to invest in renter’s insurance, keep in mind that if you don’t have it and there’s a disaster, you’re required to pay out-of-pocket to replace your belongings. In addition, you’ll be liable in the event that someone is injured in your home.
Insurance brokers in Nova Scotia
If you want to purchase renter’s insurance but aren’t sure where to start, the experienced brokers at Eisenhauer Insurance Inc. can help. We can answer any of your questions and ensure you get the coverage you need. Since 1980, we’ve been providing customers with reliable and comprehensive policies. Contact us today to learn more or get a free quote.