Renters Insurance

Home renters insurance

With the recent growth of the home rental market, rental property insurance has become a big growth area. Unlike home owners insurance, renters insurance coverage does not tend to cover damage to the property, but to contents only. It tends to be cheaper than classic home insurance (although for property insurance renters are paying through their rent).

Apartment renters insurance is a more mature market as there has always been a significant amount of people who rent their apartments. Like other home renters insurance it tends to cover contents only. Insurance quotes for apartment renters insurance tends to be dependent on the amount of security that the apartment block has, with factors such as the concierge service being important.

Rental car insurance

Rental car insurance, more often known simply as rental insurance, covers the damage done if renting out a car. Although it is possible to get rental car insurance from the company that is renting out the car (in fact this is often insisted on, especially if no other rental insurance is in place) it is also possible to get rental car insurance separately.

Some auto insurance providers have an “all car” policy which allows a driver to be covered driving any car, including rental cars. These tend to be expensive on harder to insure drivers but are often an option for those with a record of good and safe driving.

For those drivers whose cars are rented on a long term lease, particularly company car drivers, they have access to almost all types of car insurance that are open to car owners. This can sometimes add expense to the policies, but rarely any significant amount.

Getting cheap renters insurance (both car and home)

It is possible to get cheap renters insurance, although there are fewer long term things that can be done due to the lack of control over the house. More than most factors, shopping around matters for cheap renters insurance, and it is a good idea to get a number of renters insurance quotes before settling on the final provider.

There are few things that can be done going forward, such as fitting new locks or installing a burglar alarm. Even if these are allowed in the rental agreement this may not be cost effective due to the short tenancy. Also for home renters insurance, window locks may be a cost effective way of cutting the cost of renters insurance. However a leased car can be modified for car alarms, and this may be worthwhile if the lease is for a long term.

When renting a new car or home, the insurance cost should be factored into the cost of rent, and so it may often be the case that the cheaper apartment with inadequate security may actually cost more when the higher insurance quotes are factored in.