10 Reasons Why Renters Are Better Insured Than Homeowners
Insurance is today demand. Are you a home owner or do you rent? As an owner, you are well aware that your house is the biggest investment that you have made till now. However, in case of an accident, you will be liable to pay the medical bills for the injuries caused to you and your family members.
A person who rents a house is often referred to as a renter as opposed to an owner. A home owner is legally responsible for maintaining his house while renters are not. The main purpose of renting a home is to save money but at times, you end up spending more than expected. If you rent a house for more than six months, then it is important to know whether you are saving money or just paying more.
Renter insurancce is an essential and mandatory insurance that can be purchased when you rent a house. It will cover the damages that may occur to the house and will also provide medical expenses and any loss of income. There are two types of renter’s insurance policies – comprehensive and collision.
What Is Renter’s Insurance?
According to Wikipedia, a renter’s insurance is a type of homeowner’s insurance that is designed for people who rent property. This is a type of policy that provides protection against fire, theft, water damage, and vandalism and accidental damage to the property. Most insurancce providers are providing this service at a discounted rate.
Why Renters Should Buy Renter’s Insurance?
Although homeowners don’t purchase renter’s insurannce for themselves, they are supposed to take care of the home while the tenant is away. However, in a number of cases, the owner loses the keys to the house. In such a scenario, the renters will have to pay for the damage to their own belongings. This will add extra costs and expenses to the renters.
4 Important Questions To Ask A Renter’s Insurance Company
Are you thinking of getting renters insurance policy? It is one of the best thing you can ever do, because your apartment is not your own and you will be covered with many things that are done in your absence.
But before that, you need to get a company for providing you this kind of policy and there are a number of things that you need to know. You need to ask some questions about the company and the policy that you want to buy. Let’s discuss 4 important questions to ask a renters insurance company.
Is the company financially stable?
If you don’t know how much money your apartment costs, then you don’t have to buy this policy. This is the main reason that the insurance companies take huge amounts of money from the customers.
If the company is financially strong, then you don’t have to worry about anything, as it will provide you with adequate coverage.
What is the maximum payout that you will get for any claim?
It will be good if you have enough money to pay the damages that occur during the accident. But the policy should also cover the loss of personal belongings and if not, then it will be useless.
Don’t you need any kind of license to sell this insurance policy?
It is illegal to sell this kind of insurance policy without the license. The insurance companies that have no license are those who have less credibility and you will get the less benefits.
These are the most important questions that you need to ask your insurer. Make sure that you are asking these questions from a reliable agency. Also, you can check the company’s website and see what kind of service they offer.