Getting an apartment has its hassles in itself, but did you know you could get protection and coverage you may need in case of distress for your apartment? That’s what Renter’s Insurance is for.
What is Renter’s Insurance
Renter’s insurance is a subset of property insurance that proffers protection for a policyholder’s personal belongings in case of a loss. It’s an insurance policy that protects a tenant’s property within a rented apartment.
What Does Rental Insurance Policy Cover?
The policy offers liability coverage in cases of negligence. For example, if you leave the tap in your kitchen running and it overflows into a neighbour’s apartment, you could be liable for that damage and required to foot the repair or medical bills related to the accident. Renter’s insurance provides coverage for such costs.
- Personal property
Most rental insurance policies offer protection for a tenant’s property in case of accidents such as power surges, fire, burglary, theft, water damage or other unforeseen events. It is important to note that only certain types of property are covered by renter’s insurance. Still, it is possible to have add ons on your policy to protect items that you consider important, and that may be expensive to replace.
- Loss of Use
The policy also offers coverage in case you have to leave your apartment after an accident. If for instance you got burgled and have to make use of a hotel during the time the safety of your apartment is being restored or assured, the renter’s insurance policy will cover the expenses incurred during this period.
How to get Renter’s Insurance
After you’ve found the apartment of your choice, before opting for renter’s insurance, here are four things to look out for in a company before getting your renter’s insurance policy.
- Established Companies
It is preferable to go with established companies over startup insurance companies. Established companies have the know-how to handle the many cases of renter’s insurance due to the many years spent in the system. They are likely also to have the most affordable rental insurance rate.
- Due Diligence
Ask around, ensure you carry out the necessary research on the company you intend to get a rental insurance policy. Make enquires about the claims process and how seamless they are, so in case you’ll be filing for a claim you won’t be hassled out with endless paperwork till you burnout and forgo the process.
When seeking renter’s insurance, ensure the insurance company offers coverage in your area. Some insurance companies refuse to cover specific areas for various reasons. So double-check the company’s coverage territory before you sign up for a policy.
- Rating and Certification.
Verify if the insurance company you intend to sign up with is accredited by the National Insurance Commission (NAICOM) and if you are to employ the services of an insurance broker ensure the Nigerian Council of Registered Insurance Brokers (NCRIB) authorises the insurance agency.
In some high borough areas in Nigeria, some landlords require renter’s insurance before subletting their apartments. For the peace of mind it offers, a renter’s insurance policy is a small price to pay. Don’t wait till a disaster occurs before you get one.