apartment therapy changing the world, one room at a time

What about that whole not being eligible for renter's insurance if you live within x number of miles of a wild fire that's occurred within the past 6 months? You know, like the wild fires that happen in CA oh... every 6 months. :)

Weird. My landlord requires that all tenants have renter's insurance. I assumed it was standard practice, but now I suppose there's no particular reason for that to be the case.

Oh man, I had a coworker that rented and his place burned down and lost everything. Everything. The next day I bought renter's insurance and havent looked back. I've used it a few times when my car was broken into at my apartment and stuff was stolen, from my car.

We pay like $250 a year. This is a no brainer if you cant afford to replace everything you own.

A friend of the family had his home broken into when he was deployed and absolutely everything emptied out (thieves must have know he was gone for a while, as it would have taken a couple trips to empty his 2 bedroom apartment). He didn't have renters insurance and was pretty much screwed. I get my renters insurance through the company that holds my auto insurance and they give me a decent discount for holding both policies with them. My ex gave me a bunch of crap for the "wasted money", but I think the peace of mind is worth it.

i commented on the last post about renter's insurance. i'm an insurance agent and am licensed in california. if you have questions, feel free to ask me. i think renter's insurance is a good idea, and have always had it....even before i became an agent.

sometimes there are moratoriums on policies in wildfire areas, but they don't usually last for 6 months....usually just a week or so after they are extinguished, the coverage becomes available.

each company has their own rules that they file with the department of insurance in the states they do business in. each state has its own rules, too.

the above 16 perils that can be insured against are usually always covered, but if any of them specifically are of interest to you, i would caution you to double check with the insurance provider to make sure the thing you're worried about is covered on their policy.

also, condo policies are super important. typically when you own a condo, part of your HOA fees go toward you association's master policy. this policy usually only covers the exterior walls of your unit. you, as the unit owner, need to get a policy to cover all of your interior walls, fixtures, cabinetry, and flooring.

My cousin just got renters insurance because it will cover his new iphone for something like $17 for the year.

it is ridiculous to NOT have renters insurance. i have mine through the same company that does my car insurance and it is around $10 a month. think of all the things you send monthly fees to.....what's an extra $10 to replace belongings damaged, stolen, or to cover OTHER people's belonging in case you know....you have a kitchen fire and burn the whole apartment complex down. every place i've ever lived required me to show proof of renter's insurance before turning over my keys to me.

I am a renter of many years and have in the past researched getting renter's insurance. The problem (as I have been told by an agent) is that I am a DJ and thus have vast amounts of irreplaceable vinyl records which classify as a "collection". Insuring these against replacement costs would require "collectibles insurance" which is very pri$ey. He may have been leading me on, but it did cost considerably more than plain old renters insurance. Make sure your spoon collection goes in that "safe fireproof location"!

Question for the blogger... okay, so you spent the time to research and write the article. But did you actually BUY the insurance this time??

get it. period.

there was a fire in the garage area of my building last september and i was the only one who had it.

i had mainly smoke damage to my apartment and it paid for a company to come in and box up everything i own. they cleaned and stored everything until i could move back in. they reupholstered furniture that had permanent smoke damage and dry cleaned/laundered EVERYTHING. it was amazingly helpful when my landlord required that i present them with an empty apartment so that they could fix the cosmetic damages. my 2 next door neighbors that didn't have insurance and had to evacuate their apartments...they had to do all that themselves.

after seeing how much it helped me, other neighbors have since bought renters insurance. it's sooo worth it.

greenish: I'm actually waiting for new quotes since submitting my info earlier today since our apartment is a little different since the last time I applied a year ago. Comparison shopping, ya know? I might also ask mannequingirl above once I have all my figures to compare.

I am also a licensed insurance agent. If you are a renter, PLEASE get renter's insurance. It is such an awesome value. I sell these policies everyday and most range from $75 per year to $300 per year. I have talked to so many customers and have known a lot of people that have not had the insurance and suffered a total loss. Even if you think you don't own anything of value, it costs thousands just to get back on your feet after losing everything you own. Feel free to ask me any questions about the insurance.

get it, it's so cheap! so worth it! my place was broken into and it only cost a couple of hundred dollars for insurance to replace the thousands of dollars of stuff that was stolen. You can get discounts if you use the same company as your auto insurance, etc.

Mine is only $126 per year for up to $15,000 coverage with a $250 deductible. I don't have a lot of valuables, so this is enough coverage for me. The peace of mind is worth every penny.

I wonder if it covers my cell phone. That is a GREAT idea to look into. Then I can stop paying the $5.99 a month for coverage through my carrier.

I am a licensed insurance agent in Washington and I have to say I usually cringe when I see an insurance article written by non-insurance people, but this article was well researched (or just copied but that's ok too).

I am a renter and it's sad but I have more insurance than a lot of my clients that own million dollar homes/condos. One thing that is often overlooked by renters and condo owners is personal liability. They usually get the minimum ($50,000 or so) but I would remind you that your unit is connected to many others, so even though you might be able to replace all of your items in case of fire or theft what would happen if a fire that started in your apartment spread to other units and caused bodily injury or property damage. This is why some landlords require renters insurance, they don't care about your property, your $100,000 liability coverage will help with their deductible when you burn the place down. I have a million dollar liability policy because it is $10/month more than $100,000.

One more tip I didn't see mentioned is about scheduled personal property. Some items (jewelry, music instruments, coin & stamp collections, cameras...) have limitations of coverage amount unless you schedule them on the policy. Example: Say your wedding ring is valued at $5,000 and you lose it on a trip to Hawaii, you can't prove it was stolen, it's just gone. If this ring was not scheduled your claim would most likely be declined because it was a "mysterious disappearance". Now if someone broke into your room and stole the ring it might be covered but the amount would be limited. If you schedule the ring for $5,000 (most companies will ask for an appraisal) the ring would be covered for mysterious disappearance and they would either replace the item with like kind and quality or give you $5,000.

Almost every company and contract varies on the amounts those things are covered for, so check with your agent or read your contract.

Oh also (I hear the groans) I advise my clients to take photos of their belongings or walk through the house with a video camera to show what you have in there. Chances are that after a fire you will not remember everything you had tucked in closets and corners. Keep the video or pictures at someone else's house or at work.

Renter's insurance is great and a must have. There was a fire in my apartment building last year, and the building was a total loss. My insurance company wrote me a check for $5000 the next day. And after I made a list of everything I lost they wrote me another check. I don't know what I would have done without the insurance.

Thank you to all the insurance professionals for providing further details. I think it's evident this is a no-brainer. I'm taking photos of our whole apartment this weekend and signing up.

It is great to see so many people either have or are getting renter's insurance. It was one of the 1st purchases I made when I moved into my first apartment, even though my salary was a pittance. Thankfully, nothing ever happened where I needed to use it, but just having it was a big relief.

Here at the Red Cross, the vast majority of people that we end up being called in to help are those without any insurance.

When you've lost absolutely everything in an apartment fire and are also on the hook for destroying someone else's place, you'll definitely be glad to have paid a few bucks a month to be covered.

In fact, our emergency services folks often say that the number one thing they'd tell people about getting prepared for disaster/emergency is to have insurance -- as a renter or owner.

if any of you want to call me for a quote, i'm currently licensed in most states west of the mississippi.

my toll free number is 800.458.3220 extension 4757.

i reside in portland, oregon.

one thing i forgot to reiterate about the replacement cost....don't get actual cash value coverage, because it doesn't really do you any good. it depreciates for everything in a settlement.

i'm happy to discuss anything about renter's insurance with any of you. feel free to give me a call.

Ok all you insurance agents, questions time! :)

I'm thinking the answer to this question is pretty obvious, but I just want to double check.
So, if I'm moving in 2 months, should I wait to get renter's insurance or just get it now and change my info when I move/secure a new apartment?

I don't know if this will help, but I emailed myself a list and photos of my belongings (and updates when needed) so I have proof if it comes to it. And as far as the decision to get renters insurance, just think: spoons, plates, underwear, notebooks, dvds, hangers, t-shirts... All the stuff you will have to replace that you never even think of that costs lots of money- it adds up quick. Even after purchasing renters insurance I was able to add up over $60,000 of stuff in about 5 minutes I would need to replace if it all went away. (And I live in a small studio with modest possessions...)

Not an agent but... Get it Now!! A lot can happen during the course of a move.

Sparkle......Go ahead and get the insurance now. You will sleep better at night. It's not worth taking the risk that nothing will happen during those two months. If you are moving to a different location within the same state, it should just be a matter of changing your info with the insurance company. Your rate may stay the same, decrease or increase depending on the new location. If you are moving out of state, it will most likely require the insurance company issuing a new policy in the new state. Not a problem though....they do it every day.

ShainLA - what insurance company do you have? They sound awesome! And how much do you pay a month? I'm with Balboa through Wells Fargo and I'm paying $27 a month for coverage, incl. earthquake insurance. Think i'm only covered up to 20K, though - I gotta change that since I gots more stuff now!

Be prepared to answer the following questions when obtaining a quote for tenant/renters insurance:

1. Do you conduct business on the premises?
2. Do you own a dog? If so, what is the breed?
(FYI...Dog bite liability claims are paid out in the billions per year by insurance companies. Expect to be declined or pay a higher premium if you own a breed of dog that is statistically known to have vicious tendencies and/or cause serious injury.)
3. How many feet to the nearest fire hydrant?
4. Exterior construction of building? (brick, siding, stucco, stone, etc.)
5. Central heat? Gas, oil or electric? Do you use supplemental heating devices? (If you do.....don't. They cause a lot of fires.)
6. How many units are there between fire walls in your building?
7. Have you had any property losses anywhere you have lived in the last 3-5 years? If so, what are the details of the loss?
8. Amount of coverage you want to replace your personal property? (Mentally turn your place upside down and shake it. Everything that is loose and falls down needs to be insured.)
9. Amount of personal liability you want to carry? $100k, $300k or higher? This coverage usually follows you worldwide and is not just limited to your property. This limit needs to be high enough to protect all of your assets in the event you are negligent or accidentally cause serious injury to others. (Don't forget about retirement savings, investments and even future income in your list of assets.)
10. Medical Payment coverage. $1k, $2k, $5k? This amount is to cover other people's medical bills if they are injured on your property. (Ex: Friend comes over trips on your rug and needs stitches, comes over to cook and burns themself, etc.)
11. Jewelry, firearms, etc. that may need increased coverage limits for theft? Off premises theft coverage? This is often an additional premium in larger cities but can definitely be worth it. (Laptop stolen at the coffee shop while you went to get a refill.)
12. Deductible amount? This is the amount you will pay if you suffer a loss. The insurance will kick in after you pay this amount and cover you up to your coverage limits.

Email me if you don't know where to turn or want a quote. I am licensed in 48 states and will be happy to give you a call to see if I can help. kehtn@aol.com

State Farm.

I don't work for them, but am a damn satisfied customer. I get my auto insurance through them and they notified me that I could actually save on my auto insurance by adding renters insurance to my plan--$75/ a month less (read: essentially free renter's insurance).

Look into it.

I agree completely with all the pro insurance posts.
Get it, it's that simple. I got insurance the day AFTER my apartment was broken into. Hindsight is 20/20.

question: how do i handle non-related roommates? can we all be on the same policy, or do we need individual policies?

Get it! An apartment above me had a pipe burst which flooded ridiculous amounts of water into my bedroom which ruined my very expensive mattress, laptop and just about everything else in the room. I did not have renters insurance. Luckily my building's insurance co reimbursed me for a very fair amount that I was satisfied with but I also got renters insurance right away. Now I have peace of mind knowing that I'm covered if something were to happen beyond my control. I have a great insurance guy here in NYC if anyone needs a recommendation!

I opted for liability insurance (in case I burn the place down) but not contents as I really don't have that much stuff of value. And a high deductible to lower my rate.

This conversation has focused on the importance of having insurance but there is also another story. Luckily I have never had to use insurance, but I know of several stories of the headaches and red tape people have had to go through to get their money. Insurance companies are in the business of maximizing their profit, after all.

Get renter's insurance, but check with your company before you use it as substitute for your cell phone insurance. My renter's insurance will only cover my phone if it is damaged in my home in some sort of unforseeable event (flooding, fire, etc.) Not if my toddler drops it in the toilet or it gets crushed because dropped as the door of the car is being slammed shut. (We have unimaginably bad luck with cell phones in my family.)

This is a little off-topic but...

I just found out that someone I know doesn't have HOMEOWNER'S insurance. I don't know how he sleeps.

Ditto to girlee's question? I live in a 3/2 duplex with two other roommates. The quotes I'm getting are up there in price because it's a fairly large unit, 8 rooms total (3 bedrooms, 2 bathrooms, kitchen/dining, living, and laundry), with a fireplace (that we don't use) and a 2-car garage. For the most part I keep my personal items in my bedroom or boxed up in the garage. How do I make sure I'm covered without paying to protect everything in the house?

girlee & higleyjp.......You only need to insure your belongings. Each roommate needs to have their own renter's insurance. You don't have an insurable interest in their belongings so you don't want to or need to insure their property. Just take inventory of your things and only insure for that amount. Again, I think the easiest way to keep a record is to walk through your place and take pictures or a video. Be sure to open drawers, cabinets, closets, etc. It would be next to impossible to remember everything you own from memory. Also, as others have said, store the pics/video somewhere other than your residence. Another great insurance company is Travelers.

peacelily-

I am not blindly defending the insurance companies when it comes to red tape and claims being declined, but from my experience when I start asking questions to people that have had problems usually it is not the companies fault. Meaning the insured did not keep good records of their items so claims checks were delayed, items that should be scheduled were not and claims were declined or limited, or things that are not even covered on a policy to begin with are declined. For instance a big one is water damage. Water damage is covered, HOWEVER, this does not mean the pipe that slowly dripped for 7 years downstairs that you just discovered caused major damage will be covered. Water dmage will be covered if it is a sudden act (think pipe bursting or water heater failing a spilling all over). Also every company I know of do not cover floods, that is a completely seperate policy. If you were told you were covered, ask for it in writing.

I recommend using an indpendant agent/broker (sounds like eliza68 is one) because they have multiple companies to work with and you can call them before placing a claim and ask if it is worth it. They can't make the decision for you but they can tell you the consequences (claims history will follow you around for up to 5 years). Place a claim on a stolen set of $750 ski's with a $500 deductible? Better not. Place a $5,000 water damage claim when your dishwasher broke and ruined your hardwood floors? That I can understand.

Bottom line, keep asking questions, if not to your agent then post 'em here. There have been some good questions so far, I am especially glad someone asked the roommate question.

I work with the State of New Jersey Department of Banking and Insurance.

Most state insurance regulatory authority websites maintain extensive consumer information on renters, condominium, and homeowner's insurance.

New Jersey:

www.njdobi.org

http://www.state.nj.us/dobi/division_consumers/insurance/homeowner.htm

New York:

www.ins.state.ny.us

http://www.ins.state.ny.us/hmonindx.htm

I agree often when you scratch the surface of "how I was done wrong" stories there is often some responsibility by the injured party. The stories I am thinking of are not of that kind.

I do feel insurance companies, similar to banks, need to provide better service to their clients by providing plain language information that is easily understandable and to be explicit - I want it spelled out for me becasue when it is not it is usually to the insurance company's advantage. And more transparancy in advance about what will be needed for claims, and will not be covered. I like examples.

My general orientation is that as consumers we need to be more informed about what we are buying. And that companies shouldn't be allowed to be anything but clear and transparent. And this is especially important for services that we all have to buy, such as insurance and financial services.

That said, I have my apartment insurance, and hope never to use it.

Ok, get renter's insurance is going on my weekend to do list!
Thanks everyone, you're all super awesome!!!

I had to comment on this post because we had a fire in the house we in for 18 years. The insurance company (Travelers) paid for us staying at a friend's house for 6 weeks and a relatives house for 5 weeks. They gave us an advance, they came and took pictures of the damage. They sent a restoration service to pack up our wet, smoke-damaged furniture, pictures dishes etc. They sent a fabric restoration service to pick up and dry clean or wash our clothes, shoes, hats, linens, comforters, etc. They bent over backwards helping our family. The only things not covered were the things the firemen broke and threw out before the pictures were taken (we didn't know and especially miss our Kirby series G vacuum) All of this because some squirrels got in our roof vents and chewed threw the wires in the ceiling. It could have been much worse. Everyone got out ok and apart from being displaced we are doing fairly well. However, our landlord, being up in his 70's, decided he did not want to take on the task of rebuilding and sold the house. Now imagine, without insurance, we would have had to pack up, clean all that stuff, put it in storage, look for another place to move after 10 weeks of not knowing if or when work would ever begin on a home we had become attached to, but could not afford to buy and fix after a house fire. Ok sorry now I'm rambling, but you get the point. GET THE INSURANCE NOW!!!! Peace of mind is worth more than $15/month.

Tanya....I work for Travelers. It's great to hear stories like this. I'm in sales but have heard from many customer what a great claims experience they had in the midst of a difficult time. I'm so sorry this happened to you and your family. Good luck with recovering from this tragic event.
Eliza

I have my homeowners' insurance through USAA (whom I absolutely LOVE). I have riders for my computers/camera equipment, jewelry, and some art. They're worth it. When I dropped my out-of-warranty iBook and it stopped working, USAA cut me a check the next day for a brand new MacBook. They didn't even ask for proof of loss or an estimate of repair costs.

Easiest. Company. To deal with. Ever. Don't even get me started on how awesome their banking and customer service is...

Has anyone gotten their renter's insurance through AAA (I have car insurance with them)? Was curious about their customer service. Thanks.

I have my insurance through AAA (I used to be an agent there) but every state is different. In Washington, AAA is an independent agent or broker, so when people say I have insurance with AAA you are really buying insurance through them but the actual insurance company could be MetLIfe, Kemper, ACIC, Mutual of Enumclaw, etc. That being said American Commerce Insurance Company (ACIC) is a AAA branded company and is exclusive to AAA Insurance Agents (this could also differ from state to state). I like ACIC because they do not use credit in determining your premiums, to my knowledge they are the only ones in the sate that do that. I also had a total loss auto claim and they handled it to my satisfaction (I never had use any of my special contacts).

In California AAA is an insurance company, so literally you would be insured by AAA Insurance Company.

Customer service here in Washington is pretty good, they have a call center in Bellevue with licensed agents to take care of your billing questions, policy changes, etc. and generally speaking they are quick to answer and know what they are talking about. Your agent would be local to you (something like 25 offices statewide).

Good discounts for AAA Members too!