Car Insurance Guide

The renters insurance is often neglected. Research has shown that almost 50% of tenants do not have the appropriate insurance or zero coverage. Many tenants are not aware of the need of a renters insurance and assume the homeowners insurance covers them as well. This is not true for the homeowners insurance covers the structure and it is the renters insurance that covers the personal property of the tenant and protects the policy holder from personal liability from accidents.

Many people think that acquiring a policy is very tedious. It doesn’t have to be. Now with the Internet, many insurers have ample information on their products. Always seek for a full time insurance agent that you can trust and ask questions. A full time insurance agent will have more experience in dealing with quotations and will always have time to make a sale and provide after-sales service.

Your renters insurance premium is calculated base on a few factors. It depends on the insurance company’s plan, where you live, your affordable deductible and if you need any other additional coverage. Ask your agent if the company offers a discount if extra measure is shown to avoid damages. Installing smoke detectors, fire extinguishers and alarms may lower your monthly premium.

One of the basics of insurance is understanding the concept of renters insurance deductible. A deductible is the amount of money that is paid by the policy holder, in this case from the renter’s own pocket. For example in the of a guest’s accident, if the claim is valued at the total of $2000 and the deductible stated on the policy is $500, the insurance company will pay the $1500 and the renter will pay the $500.

The cheaper your monthly premium, the more expensive your deductible will be. There are some policies that offer very minimal deductible or co-insurance but the requirements and the premium will be more expensive. What is important is that your policy is suitable to your needs and financial health. The policy is there to help the renters and not to burden, always remember that a basic coverage is better than no coverage at all.