What are the features and services that make the best renters insurance? Whether you’re looking to protect home appliances like the best vacuum cleaner or your landlord requires a renters insurance policy on file, these plans are necessary for you.
With the right renter’s insurance policy, you get coverage for all your personal belongings in your apartment. You can even cover expensive items like jewelry, family heirlooms, and electronics with certain insurance plans. If you’re worried about your belongings being damaged or destroyed in your apartment, rest assured that you will stay protected with these insurance policies.
Keep reading to learn more about the best renters insurance options, how to find the right one for your apartment and belongings, and what coverage options you should consider.
Top Renters Insurance
#1 Lemonade Renters Insurance
Award: TOP PICK
WHY WE LIKE IT: It is a popular insurance agency that is also very charitable and has a reputation for paying out some claims instantly. It also has a decent choice of optional coverage types to add on.
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- Most charitable insurance provider
- Some claims are paid out instantly
- No intermediaries
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- No agents for prospective buyers to talk to
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Lemonade Insurance is one of the most charitable insurance providers in the US. In 2021, they donated about 2.3 million dollars, and they were able to do this with the money that’s leftover after processing claims and meeting their general expenses. Their renter’s insurance policy is available to individuals living in about 27 states. The types of covers offered include personal property, which covers belongings, loss of use which takes care of hotel and restaurant bills when living elsewhere as your home undergoes repairs, liability in case of injury to people or their property, and medical payments, which cover injuries to people in your home. Unfortunately, there aren’t any agents for prospective buyers to talk to.
The company is also pretty popular since some of its claims are paid instantly. Signing up for a policy is also pretty straightforward, as prospective buyers will only have to answer a couple of questions through the app or the website. There are also a couple of optional coverage types to choose from that include water backup, which pays for damage caused by water running out of a drain or sewer, equipment breakdown, which pays for appliances in case of electronic failure, and extra coverage, which is paid if specific belongings (e.g., cameras, fine art) are destroyed.
#2 Progressive Renters Insurance
Product URL: https://www.progressive.com/
Award: HONORABLE MENTION
WHY WE LIKE IT: It sells insurance on behalf of two other companies, but prospective buyers will also be able to contact a representative on their 24-hour helpline for more advice on what policy to take.
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- Multi Policy discount
- 24 hour hotline available incase of any issues
- Available for buyers in 48 states
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- Cannot serve residents living in Alaska or Hawaii
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Taking out a home renters insurance policy from Progressive Insurance would make a lot of sense, especially for individuals who already have auto insurance coverage. This is because of the multi policy discount that they have on offer, and as a result, policyholders may end up paying slightly reduced rates. It is also essential to know that the company functions more like a broker that sells insurance on behalf of two companies, Progressive Home and Homesite. Unfortunately, residents living in Alaska or Hawaii may be at a disadvantage because the company cannot serve individuals residing in those two states.
An insurance policy will include personal property coverage for belongings, liability coverage for legal expenses, medical payments coverage, and temporary living expenses as standard coverage. Prospective buyers also can pick from two more optional coverage options, including coverage for damage caused by water from a sewer or personal injury coverage. There is also a chance to reach out to customer service in case of issues.
#3 AllState Renters Insurance
Award: BEST FOR DISCOUNTS
WHY WE LIKE IT: They offer a wide range of discounts and have an app for both Android and iOS users. Through the app, policyholders will be able to pay a bill, access policy details, make a claim, and contact an agent.
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- Wide range of discounts available
- Highly interactive and well built website
- App allows users to do a lot of things
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- Coverage options offered are quite few
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Being one of the largest insurers in the US, Allstate Insurance is available in virtually all the states, and their renter’s insurance policy can be taken out either online or through their network of local agents. Its app is also very well built and allows policyholders to file and track claims through it. The types of coverage offered include personal property coverage, which covers clothing, furniture, and other belongings, loss of use which takes care of expenses related to living outside the house during repairs, and liability which pays out to people whose injury or property damage might’ve been caused by the policyholder. Still, the extra coverage options offered are pretty few.
There is also a wide range of discounts that policy buyers can take advantage of. These include a multi policy discount, an autopay discount, a claim-free discount, a discount for safety devices or services, and a discount for retired policyholders that are 55 years old and above. Allstate’s website allows policy buyers to do many things, including getting a quote, paying their bills, finding an agent, and filing/tracking claims. Their mobile app is also available on both Apple and Android.
#4 Amica Renters Insurance
Award: BEST FOR USER-FRIENDLY WEBSITE AND APP
WHY WE LIKE IT: Its website and app are very user-friendly. It also offers countrywide coverage and a wide range of extra options to consider as optional coverage options.
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- Wide range of optional coverage options to consider
- User-friendly website and mobile app
- High level of customer satisfaction
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- No insurance agent to consult with
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Amica is a formidable insurance company that offers both Auto and Renters insurance. Their Renter’s insurance policy is available in all states except Alaska and Hawaii, and the four types of coverage that are included as standard in their policy are personal property coverage for individual belongings, loss of use coverage to cater to hotel/restaurant charges as the house is being repaired, liability coverage that pays out costs associated to injuring other people or damaging their property, and a medical payments coverage that deals with injury costs for people injured within a policyholder’s house. Unfortunately, prospective buyers won’t be able to talk to an insurance agent.
The company also offers a slew of coverage options to consider, and they include a personal property replacement cover that caters to the full cost of damaged personal property, a scheduled personal property coverage that covers valuables, a smart devices and computer cover for personal electronics, and an identity fraud cover to deal with expenses that might occur as a result of identity being compromised.
#5 Country Financial Renters Insurance
Award: BEST FOR GOOD CUSTOMER SERVICE
WHY WE LIKE IT: They are pretty popular for their exemplary customer service. Users also have many options on how they can customize their policy.
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- Great customer service
- Wide range of extra coverage options to choose from
- High level of customer satisfaction
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- Only available in 19 states
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Established in the 1900s, Country Financial is a fairly old player in the US insurance market, and its length of time in the industry has allowed them to build a solid reputation. They are hailed for their exemplary customer service, and their website will enable policyholders to pay bills, file claims, and find out more about the different kinds of coverage available. Speaking of which, their renter’s insurance policy includes coverage for personal property, loss of use, liability, and medical coverage. Unfortunately, it is only available in 19 states.
The insurance company also offers a substantial range of extra coverage options to choose from. They include premier coverage for personal property where personal belongings will be covered for damage caused by breakage or power surges, replacement cost coverage for replacing items that are too old to efficiently function, special coverage for high-value items, and identity theft coverage, and water backup coverage.
#6 Nationwide Renters Insurance
Award: BEST FOR MULTIPLE COVERAGE OPTIONS
WHY WE LIKE IT: There are many other coverage options on offer, so customers have a wide range of options to choose from. Their insurance services are also available to residents in 46 states, and their mobile app is also user-friendly.
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- Multiple coverage options
- User friendly app
- Unique coverage options
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- Some might not like that it is not available in four states
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Nationwide’s renter’s insurance cover has been praised by analysts for offering slightly beyond what many other companies do. They are also available to individuals living in about 46 states and offer the four main types of coverage under any renter’s insurance policy in the US. This includes personal property, medical payments, personal liability, and loss of use. Additionally, policy buyers also have the choice to include two additional types of coverage to their basic policy. This includes coverage for building additions and alterations which pays for damage to home elements that have been improved recently, and credit card coverage which pays policyholders back for unauthorized financial transactions on their credit cards. Still, some may not appreciate its lack of availability in four states.
There’s also a wide range of optional coverage policies that owners can choose from, and they include coverage for brand new belongings, valuables plus coverage for high-end jewelry, water backup coverage for damage caused by over spillage from sewers or drains, theft extension to cover theft of personal items in a vehicle, earthquake coverage and identity theft protection.
Beginner’s Guide to Renters Insurance
What Is Renters Insurance?
Renters insurance is a financial coverage policy that specifically protects the belongings in your rented home, apartment, or other living space. These insurance policies cover damaged or destroyed personal property in your rental unit. They may also provide theft coverage, liability coverage, and additional coverage for living expenses like hotel costs if your unit is damaged and uninhabitable. If you ever experience a scenario in which your personal property is damaged, you can use your renter’s insurance to cover repair or replacement costs.
Renters Insurance vs Traditional Home Warranty Plans
Both renters insurance and standard home insurance are considered insurance policies, but they differ slightly in terms of specific coverage and average cost. For starters, home insurance policies generally cost more than renters insurance and protect more than just your personal belongings. These plans can also cover structural damage to your home in certain circumstances. Conversely, renters insurance is usually more affordable, depending on the exact policy you purchase, since it only covers your belongings and not the rental unit itself.
Both mortgage lenders and landlords will typically require you to purchase some kind of insurance. This way, you can rest assured your belongings are protected, and your landlord won’t have to worry about you pursuing them for financial compensation for damaged belongings.
How Renters Insurance Works
Renters’ insurance works virtually the same way as other types of insurance policies. After you’ve selected your plan and provider, you start paying for the plan every month. The plan’s pricing varies depending on the extent of coverage you choose.
If you ever encounter property damage or loss covered through your renter’s insurance policy, you can initiate a claims process with the provider. You usually file a claim on the phone with a claims representative or through an online form.
Once the insurance company has received your claim, a claims adjuster will be assigned to your case. This claims adjuster is responsible for reviewing the claim, approving or denying it, and determining the exact amount of money you are owed. This review process typically involves a call with your claims adjuster to go over exactly what happened and your estimate of the costs. Finally, you may even need to meet with your claims adjuster in-person to review the damaged property.
If your claim is approved, you will be required to pay a deductible, the amount of which depends on your specific plan details. Then, your insurance company will write you a check for the cost of repairing or replacing the items.
Do You Really Need Renters Insurance?
In many cases, landlords will require you to carry some kind of renters insurance, the exact coverage of which depends on their preferences. However, even if your landlord doesn’t require renters insurance, you would do well to purchase a policy of your own. And, to make this the best time to buy vacuum, you’lll want to get insurance first.
Since you don’t have complete control over how your apartment or rental unit is maintained, you aren’t guaranteed full protection for your personal belongings. The last thing you want is a pipe to burst and ruin all of your belongings only to have no way to replace them. If you want your things to be protected, a renters insurance policy is well worth it.
Is Renters Insurance Worth Buying?
- You’re Renting: If you are renting your living space, whether it be a single-family home, apartment unit, townhome, or condo, then purchasing renters insurance is absolutely essential. Any number of things can happen in a rental unit, including theft, so having protection is always a good thing.
- You Store Belongings in a Storage Unit: Most renter’s insurance policies also cover any personal belongings you have stored in a storage unit. This is incredibly helpful, especially for outdoor storage facilities, which run the risk of being exposed to inclement weather. Some storage units offer their own insurance policies, but we still recommend purchasing renters insurance for more comprehensive coverage.
- You Want Affordable Protection for Your Belongings: One of the biggest myths about renters insurance is that it’s too expensive. This simply isn’t true. Some plans offer plans at a monthly cost as little as $10 a month. For certain scenarios, you can qualify for discount options, and if you want to move beyond the cheaper policy limits, for extra fees, you can consider additional coverage options as well. If you are looking for affordable protection for your personal belongings, renters insurance can meet that need. These policies with affordable rates even cover things like the best robot vacuum for hardwood floors, which aren’t cheap.
Why Renters Insurance May Not Be For You
- You Own Your Home: If you own your home, a renters insurance policy will do you no good. Instead, you’ll want to look at the best homeowners insurance.
- You Don’t Have Many Belongings You Want Covered: If you don’t have very much stuff and don’t want it covered, you can save yourself some money by not purchasing renters insurance. However, we always recommend protecting your belongings, even if it seems like it’s not worth it, especially if you’re figuring out how to buy a quality vacuum to use for a while.
- You’re Covered Under Someone Else’s Insurance Policy: If your name is specifically listed under someone else’s renters insurance policy, there’s really no need for you to purchase your own. However, you’ll want to make sure with 100% certainty that your name and your belonging are listed on that person’s plan. If not, you won’t be covered.
How Long Will Renters Insurance Last?
According to most renters insurance industry experts, like Effective Coverage, you’ll most likely sign a one-year agreement for a standard renters insurance policy. Then, at each subsequent year, your policy renews. Of course, you can continue to renew your policy with the renters insurance provider for as long as you need it, as long as you are paying your bill on time.
How to Choose Renters Insurance
When it comes to selecting the best home appliance insurance, you need to focus first and foremost on finding a plan that fits your specific needs. Most insurance providers offer a ton of options when it comes to coverage and limits. Take the time to figure out what appliances you want to protect and to what extent you want them covered. Then, find a plan that fits those requirements.
Best Renters Insurance Key Factors to Consider
1. How much policy coverage does your landlord require?
The first step to finding the right renter’s insurance policy is understanding what kind of coverage your landlord requires. You’ll usually have a set minimum coverage limit if you’re renting from a large property management company at an apartment complex. The property management will typically require you to submit proof that you have a policy with the level of coverage they’ve specified.
If you’re renting from someone who only has one or two properties, it’s likely that the landlord will just require or recommend that you have renters insurance. However, it’s always a good idea to see if they have any standard policy requirements before purchasing a new plan.
2. What is covered under your policy, and how much monetary coverage should you purchase?
Next, you’ll need to understand what items are covered under your renter’s insurance policy. Most renters insurance companies will provide personal property coverage for the same general set of circumstances, including:
- Personal belongings like clothing, furniture, bedding, toys, consumer electronics, kitchen tools, and appliances.
- Loss caused by disasters like water damage, lightning strikes, fire, smoke, theft, and vandalism.
- Property damage caused by pets or members of your family.
- Bodily injury and medical payments caused by pets or members of your family.
- Additional living expenses in the case that your rental unit becomes temporarily unlivable.
With the above list in mind, it’s important to determine how much monetary value you have in those things. Take some time to create an inventory of everything you have in your apartment and their overall value. Then, add up all the values to get a total number. We recommend purchasing a renters policy with at least enough coverage to pay for everything in the event that all is lost.
3. Do you need to purchase supplemental coverage?
Most renter’s insurance carriers require an additional cost to cover high-value items or damage in high-risk areas. Supplemental coverage for certain valuable possessions is called a rider.
Consider adding extra coverage for these situations:
- Fine jewelry
- Art
- Musical instruments
- Collectibles
- Business property insurance
- Flood insurance
- Earthquake insurance
- Excess liability insurance
- Identity theft protection
4. Does your policy pay actual cash value or replacement cost?
Most renter’s insurance policies offer payouts in one of two ways: actual cash value or replacement cost. For actual cash value plans, your insurance company will take item depreciation into account and only pay you the value of similar items in similar conditions and not the full amount it would cost to purchase a new equivalent.
For example, if your five-year-old laptop was stolen and you had an actual cash value plan, your insurance company would only pay you what the laptop is worth today and not how much it cost brand new.
For replacement cost plans, your insurance company will pay you the amount necessary to replace your items with new options, no matter their age or condition. These plans tend to have higher premiums, but they are well worth it if you’re willing to pay a little extra each month.
5. How much are you willing to pay for your insurance plan?
When it comes to the cost of renters insurance, there are a couple of different things to consider. Of course, it’s important to note that not everyone’s costs will remain the same. The amount of coverage and how many valuable items you want to cover can increase or decrease your plan’s costs.
First, you’ll need to consider how much you’re willing to pay for premiums, which are the plan’s recurring monthly or annual costs. Premiums are set by renters insurance providers based on your coverage limits.
Next, you’ll need to consider deductibles, which is the amount of money you’ll need to pay before your personal property coverage kicks in. For example, if you need to file a claim and have a $500 deductible plan, you’ll first need to pay the insurance company $500 before getting a claim payout.
Note that many insurance companies provide a multi-policy discount if you pay for additional plans like car insurance through the same company. You’ll also get discounts for using protective devices in your rental unit, like a smoke detector or burglar alarm.
6. What does the claims process look like?
If you ever need to file a claim with your insurance company, you’ll want to be sure everything is effortless on your end. After losing personal items, the last thing you’ll want is a complicated claims process. The best renters insurance companies offer a variety of different claims filing methods, including online, phone, and email.
