Admit it! You have, at least once, thought of letting go of your health insurance because therenters insurance covers medical bills. What’s the need for both, right?
There must be a lot of questions in your mind. Do the best renters insurance covers medical bills? Would it pay for your knee injury or a visit to the ER? You’ll get to know everything, but in a nutshell, don’t ever let go of your health insurance just because you have renters insurance, as it does not cover your medical bills.
So, what exactly is renters insurance? What does it cover? And what are the key features of the best renters insurance?
What is renters insurance?
Renters insurance is like an abridged version of homeowners insurance. It is practically the same as homeowners insurance, but it is for tenants. Sometimes it is a requirement for mortgages that every homeowner gets their home insured against possible injury to themselves, their family, visitors, and potential damage to their goods, furniture, and other assets. But remember that no homeowners insurance, not even the best insurance companies offer claims against the acts of God or acts of war.
What does the best renters insurance cover?
Renters insurance usually has liability protection that branches off into two kinds.
1. Family liability protection
Family liability covers the medical bills if you or a family member incurs any damage to a third party (anyone other than you or your family member). In such a case, if you are held responsible legally, you will have to pay for other person’s medical bills, which can amount to huge sums.
Depending on the provider, family liability insurance may extend to injuries caused outside the vicinity of your home. For instance, if you or your child, while playing in your backyard, somehow end up hurting your neighbor mowing the grass in his backyard, family liability insurance comes into play and helps you pay your neighbor’s medical bills.
Generally, family liability insurance does not cover damages caused by auto accidents. You must buy auto insurance policies if you want coverage for auto accidents. Additionally, auto insurance is a requirement in all but two states – Virginia and New Hampshire.
2. Guest liability protection
Guest liability insurance is – as the name states – for your guests. It’s for non-family members who visit you and suffer any injury in one of such visits. Guest liability insurance generally covers no-fault injuries up to a certain sum. For example, if your guest hurt their knee after tripping over a rug’s end, guest liability insurance will come into play, and your insurance provider will pay the guest’s medical bills.
Other losses covered by renters insurance
Damage to the contents: Things present in your home (furniture, clothes, computers, etc.) and other covered losses i.e. all the items/belongings insured by your provider.
Loss of use: Payments made for alternate residences in case any of the covered losses prevent you from inhabiting your rented home for some time.
Building additions and alterations: Everyone makes alterations to their residence to make them more livable. Renters insurance covers the damage to these alterations or additions made to the building.
Brand new belongings: Renters insurance covers your newly bought belongings. If your newly purchased stuff is damaged, renters insurance will help you replace or repair those things.
Optional coverages in renters insurance
There are some optional coverages that you can add to your renters insurance policy.
Theft extension: Items stored in your rental property are covered under renters insurance. However, items stored in off-site storage lockers, automobiles, or any location other than your residence are still at risk. Theft extension covers all your items stored in different places inside your house.
Earthquake damage: As mentioned earlier, acts of God are not included in renters insurance. If earthquakes, tornadoes, or any other natural disaster strikes, you may be left hanging. Earthquake damage is an add-on you must have if you are at risk of damage caused by earthquakes.
Valuables’ protection: Even the best renters insurance goes out only to protect the expensive items you may store in your home. For example, the best renters insurance may cover your new MacBook or recliner. However, renters insurance rarely protects valuables such as jewelry, paintings, and other high-cost items. Valuables’ protection is an excellent choice for tenants who own such expensive items.
Water backup: Water from sewers, drains, or pipe leaks is another threat that can cause damage to your belongings. In many areas, water damage is the leading cause of losses. You should consult your insurance provider and other tenants before opting for water backup.
Renters insurance vs. Health insurance
Health insurance, as the name suggests, covers medical bills incurred by the insurer. This includes ER visits, surgeries, medicines, therapy sessions, etc.
On the other hand, renters insurance is not a substitute for health insurance. You should never cancel health insurance if you get renters insurance. The medical bills paid by renters insurance are only for other people sustaining damage in a no-fault scenario. In no case does renters insurance pay for your medical bills.
Renters Insurance in California
The average rent for a two-bedroom apartment in California is around $2000. Moreover, California has the highest reported number of property crimes (a staggering 840,000) in the States. Therefore, renters insurance is a must for anyone renting a property in California. Renters insurance providers in California are quite a few. However, the best renters insurance in California at the lowest rates can only be determined by assessing your needs, your locality, and several other factors.
Finding the best renters insurance in California
There are many renters insurance in California offering different kinds of protection against different damages. The best renters insurance in California depends on what you need. The lowest renters insurance may be the go-to option if you don’t own much and only plan on staying in residence for a while. However, other options with higher premiums may be more suitable if you plan on staying for an extended period. It would be best if you do your homework before deciding which one is the lowest or the best renters insurance in California according to your requirements. Or you can get in touch with us for any queries and get the lowest renters insurance quotes in California.