Renters - Are You Adequately Insured?
Recently I read a sad post by Steve Conklin. A family of renters lost everything they had, to a devastating fire. Fortunately, they were out of the house at the time of the fire, and are not physically hurt. However, they are now homeless, and have lost every photograph, keepsake, and personal item that took a lifetime to accumulate.
Apparently the family was uninsured, thinking that since they were only renting, they were not eligible to get insurance.
I hope that my post today reaches someone who is renting and who thinks insurance is unavailable, or unimportant, or that they can't afford insurance. YOU ARE WRONG on all three counts! I have read so many accounts of uninsured renters who lost everything in a fire.
RENTERS' INSURANCE IS AVAILABLE! I have managed rentals for many years, and I always required new tenants to obtain renters' insurance. I made it a requirement of their leases. I advise tenants that their landlord's insurance only covers the building, not the tenants' property. Renters' insurance is much less expensive than homeowners' insurance, because only your personal items are insured, not the building itself.
My recommendation is to get "replacement value" insurance. It is not much more expensive than "actual cash value" (ACV) insurance. ACV insurances only pays for the current used value of your possessions. For used clothing and appliances like TVs, this may be very little. Replacement value insurance will allow you to replace what you lost, at full compensation.
I would also advise EVERYONE to take photos of your rooms and possessions, and make lists of the important items. Keep these in a separate location away from your home. Digital photos and lists can be kept on a computer - but again, they need to be stored away from your home so they will still be available to you after a fire. They will come in very handy if you ever need to prove what you lost for an insurance claim. It is also almost impossible to remember all the things you had, otherwise.
If you would like no-obligation information on how an Accredited Buyers Agent can help you save money and reduce your risk, call (717) 951-5552 or email brian@findlancasterhomes.com .
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