At UNO Insurance Agency, we get many questions from Phoenix Arizona residents who are trying to understand renters insurance. While it can seem like an extra cost, renters insurance is usually a very cheap way to protect yourself and your belongings. This week, we wanted to assemble a list of the frequently asked questions on renters insurance. We hope you find these FAQs useful, and welcome you to call us for more information.
Question 1: Why Do I Need Renters Insurance?
If you rent a small apartment and do not have many expensive belongings—you may wonder why you need renters insurance. However, renters insurance is not just for your belongings—it can cover unexpected accidents and damages as well. In addition, some policies pay costs for hotels if you are displaced.
Question 2: Does Renters Insurance Cover My Actual Apartment?
This is actually a very smart question, since renters insurance may not actually cover your apartment. Typically, your property owner has his or her own insurance that covers the building itself. It will not cover your stuff. Renters insurance can help cover your belongings or help protect you if someone has an injury on your doorstep.
Question 3: Will Renters Insurance Fully Replace My Stuff?
When purchasing renters insurance, this is a great time to ask what is covered. You can get a cash value policy, which will pay the actual value minus depreciation. Alternatively, you can get a replacement cost value policy, which may be more expensive, but helps cover the actual cost.
Question 4: Will my stuff really be replaced?
The short answer is, yes. However, you may need to provide proof of what you own. So keeping an inventory of your home, receipts, item numbers, and coverage policies is very important. One tip is to record these items online in a spreadsheet, as well as keep photos of receipts and serial numbers so that they are not lost.
Question 5: Is Everything Covered?
It is important to read your policy, and understand exclusions. For example, intentional damages, earthquakes and bed bugs are a common exclusion. However, you may purchase additional coverage riders to cover these things.
Question 6: What is an insurance rider?
Great follow up question! A rider is an additional policy you can buy adds to or amends your coverage plan.
Question 7: What else does Renters Insurance Cover?
You may have items in storage on or outside of your property. These items can also be covered. In addition, you can get coverage for your belongings while on travel. UNO Insurance in Phoenix, AZ enjoys helping local residents understand their renters insurance needs, contact us today for a free quote!