A renter's guide to insurance

Anyone who rents a home or apartment knows that means writing a big check each month. But it also means you’re free from some of the normal duties that come with owning a home.

For example, there’s a good chance you won’t have to mow any lawns or shovel any snow. And if maintenance problems arise, it probably won’t be coming out of your pocketbook. It’s likely that all of those things are your landlord’s responsibilities.

But your landlord’s responsibilities don’t extend to insurance coverage. That’s why it’s important to purchase renters insurance.

Renters insurance is a type of homeowners policy that protects your belongings in the event that they’re stolen or damaged due to fire or other insured perils. Usually, renters insurance also covers damage, up to the policy limit, that you and members of your family (including pets) do to other people.

There are two types of renters insurance: replacement cost and actual cash value. Replacement cost will replace the item with one of the same type and kind. Actual cash value pays the replacement cost minus depreciation.

It’s also worth noting that typical policies have coverage limits on items like furs, fine arts and jewelry. You can purchase endorsements to make up for the additional coverage needed on these items.

It’s wise to keep an inventory of your belongings, including photos or videotapes, if possible. Store the inventory in a separate location and update it annually.

Call or visit your local, independent Allied agent today if you would like to purchase renters insurance or update an existing policy.