Renter’s insurance is important if you want to protect your belongings while living in a home that doesn’t belong to you. Even if the landlord carries proper homeowner’s insurance on the property you rent, chances are that it will not protect your belongings in the event of a fire, theft, or any other claim. You need to carry proper insurance to cover yourself.
Get today’s insurance rates.If you are renting, you are probably looking for ways to keep your costs down. Before you just put the ax to renter’s insurance, learn the ways you can save money on this important policy.
Do Your Research
Before you rent a place to live, do your research. Not only should you find out the average cost of rent in the area, but you should also find out the average cost of the renter’s insurance. If the area is considered ‘high risk’ by insurance companies, you may pay more than you desire for protection. Insurance companies consider things like the crime rate in the area, the proximity to a fire station, and the age of the facility, you rent. The more likely it is that there will be some type of damage and/or claim, the more likely it is that your premiums will be higher than you wanted.
Take a Higher Deductible
If you want to lower your monthly premium, ask for a higher insurance deductible. All that this means is you will pay more out of your own pocket should you have to make a claim. Before you do this, though, watch for two things:
- How much will the premium decrease? Is it worth it?
- Can you afford the deductible should you have to make a claim?
It doesn’t make sense to take a crazy high deductible that you can’t afford. You’d be in just as bad of a situation if you didn’t have insurance. It also doesn’t make sense to take the higher deductible if the insurance premium won’t decrease. Check with your insurance provider as each company differs.
Bundle Your Insurance
If you carry multiple insurance policies, keep them with the same insurance provider. A common example is renter’s insurance and car insurance. If you use the same insurance company for both coverages, you may get a discount for having multiple policies with them.
Other insurance policies that you can bundle with your rental insurance that aren’t as common but may still work including life insurance and business insurance. As always, check with your provider to see if a bundle discount would apply to your situation.
Shop Around
The best thing you can do no matter how many discounts one provider offers is to shop around. You never know what another insurance company might offer if you don’t ask. Get quotes from at least three insurance agencies so that you know what the norm is and which agencies have the highest and lowest costs.
Of course, before you choose an insurance company, make sure you read the reviews and know their ratings. You want to choose a reputable insurance company that will cover you in the face of loss. Taking the lowest quote you can get your hands on from a company no one has ever heard of probably isn’t the best idea. Instead, do your research, read the fine print, and know what you are getting yourself into before buying renter’s insurance.
Get the right insurance coverage.