6 of 10 without Renter’s Insurance
According to a new survey, six in 10 Americans who rent their homes or apartments do not have renter’s insurance. The remaining 37 percent of renters have renter’s insurance and 4 percent do not know if they have it.
Forty five percent of those surveyed skipped getting renter’s insurance because they thought it was too expensive. Other reasons given for not having insurance includes feeling that the apartment or rental home has good security, the landlord having insurance on the building or the tenant not having enough property to insure.
Renter’s insurance is not a legal requirement in the same way as car insurance. However, customer service representative and agent at Koverman Dickerson Staley Insurance Missy Weaver said that even when the landlord has insurance on the building, it’s not a guarantee that the tenant’s property would be covered during an emergency.
“Suppose someone was cooking and a fire started,” she said. “Without insurance, everything inside the apartment that was destroyed would have to be paid for out-of-pocket.”
The survey said that a sizable 84 percent of Americans don’t know how much it costs or think renter’s insurance is more expensive than it is. Seventy one percent think renter’s insurance costs more than $250 per year, with 22 percent of that group pegging the costs at $1,000 per year or more.
According to the National Association of Insurance Commissioners, the average cost is actually just $187 per year.
“Annually, renter’s insurance is about $200 to $250,” Weaver said. “Various factors can make that number fluctuate, but it’s otherwise close to that.”
Most if not all insurance companies offer a multi-policy discount. When a customer insures both their renter’s and auto insurance, the discount saves them money. Increasing the deductible is also a money saver.
Local insurance companies can help those interested in purchasing renter’s insurance. The website InsuranceQuotes.com offers services for those needing insurance to get a quote and compare costs so they don’t have to worry about being out in the cold should a thief or emergency strike.