Did you know that if you get a simple renters insurance policy from the same company that covers your cars the discount on the auto policy will about pay for the renters insurance? That’s true, many companies can add a simple renters insurance policy for $25,000 in contents and your auto insurance will go down by 5% which in most cases will cover the cost of the $15.00 per month renters insurance policy.
Something else you should be aware of is that many apartment complexes now require their tenants to have renters insurance and they will try and include it in your rent payment and rental agreement. Instead of buying from the apartment complex, buy your renters insurance from an agent, not only will you get coverage from your agent and a more reputable company, you will also probably save some money on your auto insurance.
Make sure you take into account that renters insurance policies include replacement cost coverage so you can replace your old stuff with new stuff so a basic $25,000 policy may not be sufficient.
The reason that apartment complexes require you to carry renters insurance is because they all include Fire Legal Liability. Fire Legal Liability will pay for damage that you are legally responsible to pay because of a fire you may have caused. I had a customer whose son wanted some fried chicken and instead of running down to the KFC, he decided to cook it himself. About $250,000 later he not only had fried chicken but fried the entire inside of a very nice home. My customers renters insurance policy not only covered his stuff, it paid for the family to live in another home and it paid for the fire damage to the home they rented.
Renters insurance like any property insurance policy will include limits on extra valuable items such as jewelry. If you have extra valuable jewelry or other items that you need additional coverage for, consult with your agent to make sure you have the right coverage.