With an array of job opportunities in manufacturing, brewing, silver mining, and food processing, many individuals are moving around Idaho. It’s very common for residents to opt for renting over owning a home as they are not sure how long they will be staying in a certain place. This has brought the need to inform the public about renters insurance.
Many people are surprised to find out that their landlord’s insurance doesn’t cover their possessions. This means that in the event of a disaster, such as a fire, the renter would lose all their possessions without any means of reimbursement to replace all the items. This is where renters insurance comes into play.
With renters insurance, you can rest assured that your possessions will be covered for replacement by the insurance company in the event a disaster occurs. Renters insurance is available to everyone within the state of Idaho. While it is not required by law, we highly suggest making sure you opt for this type of insurance policy if you are renting from someone else.
It doesn’t matter if you are a college student at Boise State University or a small family just starting out in a rental, you should invest in renters insurance. You may be surprised to find just how much stuff you have in your apartment. Totaling up the cost of all those items can reveal a large sum that you would not be able to afford out of pocket in the event of a disaster.
Renters insurance is geared towards covering all your valuable items. This includes your electronics, furniture, textbooks, clothing, and other items. It’s a great idea to do an inventory list of all your items and note their value. This will give you a starting place when deciding what type of coverage you would like to have.
Idaho Renters Insurance Coverage Options
As with most insurance policies, with renters insurance, you can customize the agreement to fit your individual needs. It’s important to note the two main areas of coverage for each type of renters insurance plan are possessions and financial liability.
The coverage of your possessions is fairly obvious. An insurance policy will cover your valuable items up to a certain amount of money. Over that amount, you will need to pay out of pocket. Each policy will note the instances they determine to be disasters that they will cover. These include things like theft, vandalism, fire, water damage, and smoke damage.
Financial liability is another area of coverage with a renters insurance policy. This covers the medical expenses, pain and suffering, as well as any lost wages that someone incurs on the rental property due to your neglect. For example, if someone slips on your desk and hurts themselves, they can legally come after your for payment of the above-mentioned expenses. This part of your insurance coverage will pay out your financial responsibilities for these incidents up to a specified dollar amount.
In your insurance policy, you will need to take note of whether the insurance agency will be paying you actual cash value or the replacement cost of each item. This can make a big difference in the price that you should be aware of before disaster strikes.
The actual cash value of the item refers to what the item is valued at when the disaster happens. This means the depreciated value of the item. The replacement cost is the amount of money it would cost to replace the actual item at the time of the disaster. The replacement cost is likely going to be more than the actual cash value for most of your items.
One part of your plan that will greatly skew your monthly premiums up or down is the deductible you agree to. By opting for a larger deductible you can ensure lower monthly payments. Just be aware of the deductible amount and ensure that you can afford it in the case disaster does strike.
By shopping around with different insurance providers you can greatly increase your ability to get a low monthly rate. At the bare minimum, be sure to get a least three different quotes.