Home Renters Insurance – What It Is and What Does It Covers?

home renters insurance

Last Updated on August 27, 2021 by Steffi Nell

Home renters insurance is an insurance policy that covers tenants. This is also known as the tenant’s insurance. Essentially this is an insurance that fits folks that doesn’t own the property they call ”home”. This type insurance is a lot cheaper compared to homeowner’s insurance for one reason; it does not cover the property itself.

Basically, renter’s insurance covers only the personal belongings of the tenant. This includes liability insurance and the tenant’s personal properties like computers, furniture, electronics, bikes, etc. The causes covered under this kind of policy are fire, theft, and vandalism. It also covers things like storms, wind, hail, lightning, weight of ice or snow. It can also extend to pay expenses when the building becomes uninhabitable.

home renters insurance

If you check it closely, the renter’s insurance covers almost the same things as what homeowner’s insurance minus the coverage for the building itself. For this modern time, it’s a perfect choice for many individuals.

Difference between homeowners and renters insurance

Now that you have the idea how the insurance system works, let’s now look at the differences of a homeowner’s insurance and that of a renter’s insurance. As mentioned above, these two types of insurance works very similarly, both give identical coverage. They both work for the dwellers peace of mind.

Let’s now delve into the details. The usual homeowner’s insurance comes with the coverage for all the personal belongings inside your home. It covers your computer, you bike, your electronic gadgets and the likes. It comes with coverage from floods, storm, lightning, hail and snow as well. But it doesn’t stop with the personal belongings.

You see, as a homeowner, you are entitled to have you house covered by the insurance as well. So what about it? Simply, the house itself is covered for damages from the above mentioned calamities. This enables you to get your claims not just for your personal belongings but for damages on your house as well. This is an old fashioned system for homeowners for decades and is working perfectly. Still, everything has its limits and for homeowner’s insurance, that is the house or building’s ownership. You see, if you do not own the house itself, you cannot avail of homeowners insurance. This kind of complicates things for some people.

 For one, most people in city premises would prefer to rent a house or an apartment as it is less complicated than actually owning a house. This makes it very convenient especially for those who do not want to stay in one area as you can readily look for another place if you wanted to without the hassle of selling your old house. But how about getting homeowners insurance?

Getting insurance for a rented dwelling was quite complicated before but thanks innovations presented by the insurance industry, there is now what they call home renters insurance. This basically has the coverage for your personal belongings inside your dwelling.  But there’s a catch, and a good one, you don’t need a home to get this kind coverage. Another good bonus for this type of insurance policy is the price, it’s a lot cheaper than homeowners insurance. The reason for this is because you’re just renting the place and insuring the building is under the owner’s responsibility. But do take note that there are options out there that lets you insure parts of the building like some modification or improvement you may have done.

Why get a home renters insurance?

There are dozens of reasons why you must get a renter’s insurance. These reasons are not just for sales pitch; these are legitimate reasons that spell a huge difference for you.


This is among the most common thing that actually happens in a home. Every day, you leave home for work, thinking it’s all is going well. Or maybe at night when you least expect these things to happen and it happens anyway. Mind you, theft is actually common for any community. And if you happen to be the victim, and you cannot trace who or where the burglar is, all your lost belongings will be a hefty price you must pay, again.

This is especially hard when all the files, which are in your laptop, are all gone as well. This simply doubles the pain that you have to bear. Well, if you are insured and your personal belongings are covered then all hope is not lost, you can always see that silver lining if you are insured. Yes, those files and contact may not be recovered but at least replacing you lost gadgets will be a lot easier. And the coverage does not end you gadgets and that’s a wonderful thing isn’t it?

Coverage for natural disasters

We all know that that there are very few places globally that does not experience natural disasters, or at least weather disturbances. This gives you the idea that we are exposed to such dangers each year. Yes, we will be very thankful if these weather disturbances will not strike us in a very harsh way. But just in case, you can count on you renter’s insurance to cover these kinds of damages.

Let’s accept that the world is changing. And while everyone is working to counter climate change, it is inevitable that the weather patterns have changed in a global scale. This prompted huge impact on our lives. Imagine flash floods caused by days of heavy rains. Very thick snow that pours like there’s no tomorrow. We cannot change these things and if it happens in our place, all we can do is save ourselves first. This is where a renter’s insurance makes a lot of sense.

Liability damages are covered

Accidents happen and oftentimes, we cannot stop it. All we can do is to wait for to stop and assess the damages after. But what if your house happens to damage your neighbor’s in the process. Or perhaps your children throw a baseball into a neighbor’s window. Maybe a visitor tripped on our stairs and he needs medical attention. Worse, a fire the broke out from your kitchen spread over your neighbor’s property.

Of course, as you are just renting the place, your renter’s insurance does not cover expenses for your place’s repairs. This one is under your landlord’s insurance policy. But as you are the one renting the place when the said accident happened, you’ll be liable for damages incurred to your neighbor’s property. And it will be a huge burden when it happens. The liability coverage will lend you helping hand when these things shall happen.

Bodily injuries are covered

As with any accidents, body injuries can be involved. If such things happen, this could be a real problem. Many people think that these kinds of events are not very common and the possibilities are often taken for granted. Think about it, we often spend most of our time in our homes. Only a few hours are spent in an office of maybe on a vacation. Thus, analyzing such evidence, you can confidently say that there’s a huge chance for an accident to happen inside your dwelling than outside.

The bodily injury policy covers if after an accident which you or your dwelling might have caused, your insurance will give medical assistance to the victim. Do take note though that it’s not applicable if it results into a personal injury. This is where your own health insurance comes in.

Your landlord’s insurance doesn’t cover you

Yes, your landlord has their own insurance. Just like with any business, adding security measure for your property becomes a must. But the thing is, your landlord’s insurance is focused on the building itself. This does not cover the occupants and their belongings. It means that if you ever try to pursue claims through your landlord’s insurance policy in an event of theft or accident, you won’t get any.

Look at your landlord’s insurance as a business insurance. It protects the establishment itself but not the people that actually come in and stay. If you wanted to have a wonderful stay in your present address better add a home renter’s insurance at your side.

Peace of mind when you’re not home

We all know how hectic modern-day schedule is. Most people will have hard days at work and it will be a pity if you still have to think about other things such theft or accidents at home. Imagine returning home only to find your belongings missing. What an insurance policy does is to give that confidence that everything will go just fine. Of course we do not ask for these things to happen but if it does, you can move on much faster.

Also, this will give you relief when you wanted to enjoy some timeout and have a vacation. One of the reason that people do not take a long vacation is the fact that they’re often concerned about their home. You know, some people are very anxious about their home security lest, losing their belongings. Having home renter’s insurance gives you that added security every time you leave your home and to simply to enjoy life.

Best Renters Insurance

Now that you know the basics about renter’s insurance, it’s time to choose the right one for you. There are dozens of choices out there and all of them offer almost the same thing. This can make you decision making a little bit confusing. To guide you, here’s some of the best in the market.


Customers of Erie have chosen them for wonderful reasons.  First thing that really stands out is their pricing. Take note that the cheapest is always the best. Reasonable pricing is best as it may not the cheapest in town, it offers a complete package for what you pay. Also, Erie has an excellent customer satisfaction rating and good claims service system. This makes it easier for customers process their claim. According to J.D. Power Home Insurance Study, this company is up there with a 5-out of 5-star power circle rating.  Erie Insurance is headquartered in Pennsylvania. It has coverage in 12 states including Washington, D.C. Visit Erie Now

With Erie’s insurance policy you can have guaranteed replacement on cost of your personal property with coverage for identity recovery and those expensive personal items you have. Also, Erie Insurance offers discount if you avail multiple policies. Thus, if you’ve already availed an auto insurance from Erie it’s a good thing to ask if you can have discounts by applying a renter’s insurance as well. For claims, Erie renter’s insurance policy will replace you’re your belongings like TV, electronics and even furniture. Also, if it happens that you need a place to stay if your apartment needs repairs, they will pay for your additional living expenses. Of course, it also comes with liability coverage for injuries.

State Farm

If you’re looking for a cheap renter’s insurance coverage, State Farm is a great choice. For years, it has been consistent in offering among the most affordable policies there is. It’s a good thing that State Farm is available in some of the populous states including California and New York. This insurance company also has a high rating. This only means that customers are very satisfied and that means you can file your claims pretty much easily. Visit State Farm Now

And it doesn’t stop with their very affordable pricing. State Farm also offers highly customizable renters insurance policies which pretty much gives you lots of options according to what you need. From State Farm’s online system, you can view and adjust your policy for different coverage. Also, this company has very responsive and friendly agents to cater your needs.


Lemonade renter’s insurance offers its customers to download its app so you can receive a quote and even sign up for coverage online. In other words, you can get your policy ready in a matter of minutes, that’s all it takes. With this offer, they are among the quickest insurance company to grant you a policy. The difference is the fact that insurance companies require you to speak with an agent before a purchase. With Lemonade, you will be communicating with an artificial intelligence bot so the overall process is made faster while eliminating a long queue. Visit Lemonade Now

American family

American Family Insurance has also garnered high scores in cost savings department for their renters insurance. But don’t let the cheaper pricing give you a negative notion as you can still enjoy premium coverage even with their very competitive pricing scheme. Their renter’s insurance also covers several pluses as it includes coverage for electronics and firearms. Do take note that this covers for mold damage with identity theft protection. As there can be no two identical renter’s, each has each own set of needs. American Family renter’s insurance features some degree of customization to surely fit your needs. Visit American Family Now

Liberty Mutual

Liberty Mutual boasts not their pricing scheme but rather they entice their customers with their very good record when it comes to claims service. One fact is the company is known for offering coverage through high-claims areas. Often, these areas are not covered by most insurance companies. Also, one can file his claim online or through phone anytime of the day, any day of the week. This insurance company has an “A” Excellent rating from A.M. Best.

And Liberty Mutual’s renter’s insurance policy has coverage for personal property against theft or damage of your contents inside your apartment or your car. It has liability coverage as well so you are rest assured that if someone else is injured or their property was damaged while inside your dwelling, they can be given compensation. You can also enjoy additional coverage for your home computers and smartphones. And if you have jewelries, you can avail an option to add coverage for all of these items. All of it can be done under one policy limit making it more convenient. As a bonus, Liberty Mutual will give away claim-free discount. You can be eligible for this if you have not filed any claim for five or more consecutive years. Well that’s a good reward for brand loyalty. Visit Liberty Mutual Now

Final Words

If you still doesn’t have a renters insurance, you better need to have one now. It will be worth it.

Steffi is a DIY aficionado. Home improvement specialist and Interior designer wannabe. Her passion for native and recyclable materials inspire her to start this blog. Follow her on Twitter

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