Will Renters Insurance Protect Me from a Personal Injury Claim?

by | Oct 28, 2018 | News & Blog |

Moving into a new apartment or house as a renter can be exciting, but there’s an entire list of things you need to do when relocating: changing your address, buying new furniture, decorating, and getting renters insurance. Renters insurance is an essential investment, but many renters don’t understand their policies. What happens if you invite a friend over and they get hurt? While you may not want to think about it, renters insurance can help you during some unexpected circumstances.

Why You Need it

While not always required, some landlords make renters insurance mandatory for their tenants. Even if your landlord or rental company doesn’t insist you get insured, you should still consider a policy for your own benefit. This can help protect your belongings and cover theft or damages. Moreover, if someone gets hurt at your residence, renters insurance should include personal liability.

There’s a Claim. Now What?

If someone was hurt on your property and you have the proper insurance, your policy should cover expenses related to lawsuits, property damages, and the injuries of the individual filing the claim. If you have a low policy limit, you may have to pay for the remaining costs. This is why you should speak with your insurance provider to have your risks properly assessed. They can also go over the process of filing a claim, which will hopefully make the entire situation a little less stressful.

What Personal Liability Doesn’t Cover

You may not be covered if someone intentionally harms another or intentionally causes damage to the home. You likely won’t be covered if you are personally injured, or are injured performing business activities (even if you are performing them in your home). If auto accidents occur on your rental property, auto insurance will likely handle it.

What About Investors?

If you’re looking to invest in real estate, you may have to look for a separate personal liability policy. Since you’ll likely be dealing with tenants and a greater property size, your limits will need to be larger than those of someone looking for renters insurance. You may even need to look into an umbrella policy as well.

While it may seem like renters insurance is just an added expense, it could save you thousands in the event of a personal liability claim. You can’t prevent every misfortune from occurring, but you can protect yourself, your home, and your belongings against the unexpected.