Why should tenants take Renters Insurance before taking the House on Rent: 5 Reasons
If you keep relocating to a different city owing to your transferable job, it’s better to take the house on rent than buying it all together. Renting out a house or property in California is a good economic choice and has many advantages. First of all, the homeowner is going to get a constant income in the form of rent. Further, you can keep changing the house without worrying to sell it every time you move.
Aside from benefits, taking a house on rent also entails some potential risks. Renters Insurance in California is an easy and affordable way of minimizing some of the risks associated with taking the house and protecting your valuables in it. Here are five convincing reasons for tenants to ensure that renters insurance is in place.
1. It protects the personal belongings of the tenant
It is common for people to get emotionally attached to the personal belongings, as many times individuals buy them with long-term savings and hard-earned money. If and when any disaster strikes, the structure or building of the house is going to be covered under usual homeowner’s insurance, but not the valuables and other personal belongings inside the building. Only renters insurance covers everything inside the house. The policy protects the insured from certain perils like fire, break-in, theft, smoke, vandalism, explosion, lightning, windstorm or hail, water, electrical damage, etc.
2. It covers medical and legal expenses
One of the beneficial features of companies providing renters insurance is that it provides coverage for personal liability claims. If a person gets injured on the rental property premises, then the insurance is going to bear the cost of his treatment as well as the cost of the resulting legal claims. Further, if the tenant ever causes any damage to other’s property without doing anything legally wrong, then it would be covered by the policy too.
3. It includes additional living expenses
If the house is damaged or destroyed by a cause or peril, covered by the policy, the renters insurance will not only pay for the damages to the property but also any additional living expenses incurred if there is a need to stay somewhere else during repair.
4. It protects your belongings even outside your home
Renters Insurance does not limit the protection to the boundary of the home, but also protects insurer’s possessions if they are damaged outside the home. For e.g. if the insurer’s mobile phone is stolen from the workplace, the insurance will cover its replacement cost.
5. It provides additional coverage options
The uniqueness of Renters Insurance in California is that it provides additional coverage options, like earthquake or flood coverage in an area prone to them, coverage for business equipment if you run a business from home, coverage for high-value items, etc.
Considering the above points, tenants should consider the advantageous options of renters insurance and get the most profit out of the property they are taking on renting.