Renters Insurance

The collapse of the housing market over the past few years has caused many people to re-think buying a house or condominium. In many cities, demand for rental properties far exceeds availability. According to the latest statistics, over 80 million Americans now lease a home, apartment, or condo as their personal residence. This number is expected to increase as the mortgage industry continues to tighten its lending requirements and demand large down payments from potential homeowners. Unfortunately, the number of renters who actually purchase renter’s insurance remains dangerously low- around 30 million. If you reside in Maryland and are leasing a place to live, you should familiarize yourself with the value of having renter’s insurance protection.

Why You Need Renters Insurance in Maryland
If you are currently leasing a property in Maryland, you may already be aware of the importance of having renter’s insurance. A comprehensive renter’s policy protects your personal property against damages and loss in the event of fire, theft, or natural disaster. It can also provide liability coverage in the event a visitor is injured in your home or apartment. Many people don’t think about the consequences of this happening, but unfortunately accidents do occur. Without the proper liability coverage, you can be sued for damages. This can put your income, your savings, your personal property and even your future wages at risk.

The Cost of Renters Insurance
An average rental insurance annual premium will generally cost between $200 and $300. The actual amount you will pay depends on many factors, such as:

  1. Where the property is located.
  2. The estimated value of your personal property.
  3. The type of dwelling you live in.
  4. What type of coverage you select.
  5. Which deductible amount you choose.
  6. Your credit history/credit score.

Generally, there are two types of coverage offered to renters. One is Actual Cash Value which pays you the amount an item is worth at the time it is stolen or damaged (depreciated amount). Replacement coverage actually pays you the amount needed to replace the item at the current market price. Replacement coverage will normally cost about 25% more than Actual Cash Value coverage.

Insurance experts estimate that the average cost of renter’s insurance is about $15 per month. For this price an individual can get $30,000 worth of personal property coverage and $100,000 worth of liability protection.

What Renter’s Insurance Covers
Maryland renter’s insurance will normally offer you three types of protection:

Personal possessions – This will protect your personal belongings against loss and damages due to theft, leaky water pipes, fire, smoke, vandalism, and various natural disasters. Floods and earthquakes generally require separate coverage.

Liability – This protects you in the event a person visiting your home injures themselves and sues you for damages. This policy provides medical coverage for the injured person’s medical bills.

Additional living expenses – If the place you are renting is damaged or destroyed by a natural disaster covered by your renter’s policy, your temporary living expenses, such as a hotel room, will be paid for along with restaurant meals.

Don’t Delay
In today’s busy world, it’s easy to put things off. But disasters have a way of striking when you least expect them. A burglary, fire, or weather-related problem can happen at any time and if it does, you want to make sure you are protected. Don’t be faced with the situation where many or all of your personal possessions are damaged or lost and the only way to replace them is to purchase everything yourself. The truth is almost no one can afford to do this.

When shopping for renter’s insurance it’s always a good idea to contact several different insurance companies so that you can compare policies and quotes. We make this a simple and quick process. Our trained agents are available 24 hours a day to assist you in finding the best Maryland renter’s insurance policy- one that suits both your personal needs and budget. Let us help you get the peace of mind you deserve from knowing that your valuable belongings are protected by renter’s insurance coverage. Contact us today!