The time has come to sell your home and change locales. This can be a very exciting time in your life filled with new experiences and fresh starts. But through the packing, moving, apartment searching, and unpacking there are certain headaches you don’t need deal with. One fantastic stress reliever is knowing your possessions are well taken care of. Understanding the differences between homeowners insurance and renters insurance, and finding the best policy for your needs is a top priority in continued financial safety.
The Homeowners Insurance You Had
Your previous homeowners insurance coverage did a little more for you than renters insurance will do. Homeowners insurance not only protected your possessions, but also covered your home. In the event of vandalism, theft, fire, hail, or strong wind your property and possessions were covered. It probably also provided for bodily harm relating to the aforementioned threats. But you’re in a new stage of life, so your needs have changed.
The Renters Insurance You Need
One common mistake people make during a move is to neglect insuring their belongings in transit. Before moving, always secure coverage for your possessions. This can be done through the company who is moving you or renting you a truck. Even if you are moving yourself with your own vehicle, there are companies that specialize in movers insurance.
Once you have safely transported your property into the new apartment, this is where renters insurance kicks in. Renters insurance is different than homeowners insurance in respect to the building. Since you are renting, you no longer own the residence, so you do not need to pay to insure it. Renters insurance allows you to protect only your personal belongings in the event of a covered peril. Much like homeowners insurance, renters insurance often covers explosions, damage cause by vehicles or aircraft, smoke, falling objects, ice, theft, fire, and even damage related to freezing or bursting pipes. Renters insurance also provides liability insurance if someone were to be injured within your home. Lastly, most policies will pay for rent in the event your residence is unlivable due to covered destruction. Additional living expenses may even include relocation. Take care though, certain dangers are not covered by most renters insurance. For example, the results of war and nuclear devastation are not usually covered even though volcanic eruptions are. Flooding, earthquakes, and tornadoes are also not usually insurable under basic plans and require a separate policy.
Where do I Find Renters Insurance?
Unlike purchasing health insurance, which tends to be a very personal decision that affects your physical wellbeing, renters insurance is fairly standard. Most policies cover the same eleven to seventeen perils, include liability, and provide additional living expenses in the event of necessary relocation. The most important consideration is trust. Knowing that the company insuring your family heirlooms is a reputable organization that keeps its promises and has your best interest in mind is of highest concern. A good place to shop for renters insurance is with your friends and families. Find out who they purchased their policies from, ask about the kinds of coverage, and see if they trust their provider. Of course, the internet is a veritable treasure trove of information on renters or homeowners insurance.