How to Get the Best Rate for Renters’ Insurance

Renters’ insurance is something that every apartment renter should consider, but you also want to get the best rates. This means that you will need to shop around with different companies and compare rates before making a decision. Never let the salesperson rush you into signing a policy, and you should always read the fine print before signing.

There are several advantages to having renters’ insurance. If a fire occurs in your apartment or if your things are stolen, insurance will help recover your losses. Renters’ insurance will also help with medical expenses if someone is injured in your apartment.

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Types of Renters’ Insurance
There are two types of renters’ insurance policies that you can purchase: a replacement cost policy or an actual cash value policy. Under the replacement cost policy, you are reimbursed the full cash value of the current market price of each of your lost items. In the case of the actual cash value policy, you are reimbursed for any property damaged or stolen after the depreciation of the item is taken into account. The actual cash value policy is cheaper than the replacement cost policy, and you might want to add coverage against floods and earthquakes to your standard renters’ insurance policy.

Working from home (Logan Ingalls via Flickr): https://www.flickr.com/photos/plutor/3169836251

How to Find a Good Rate
If you currently have car or life insurance, inquire about getting renters’ insurance from the same company. They may be able to offer a discount on your renters’ insurance policy. You can also go online and compare the rates of different insurance companies. It helps to secure your apartment when seeking a good renters’ insurance rate, because you would be considered a high-risk customer if your apartment is not the safest. Always buy only the amount of insurance you need, as this helps keep rates stable.

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Know Your Credit History
Like any other kind of insurance, your credit history affects how much you will pay. If you want the best rate, you need to look over your credit report. If outstanding debts exist, pay down as much as you can. The less debt you have, the better your credit score will be. As your score improves, so will your chances of landing that low insurance rate.

The Rates
When seeking renters’ insurance at the best rate, you should have an idea of the average monthly cost of renters’ insurance. On average, you might pay between $12 and $15 per month for the insurance. You can also take out deductibles to bring down your monthly cost.

Filing a Claim
If something is damaged or stolen, how can you make sure that you get what is rightfully yours from the insurer? Always present documentation of everything that happened in the apartment. Start by writing down all of your belongings in the apartment. Next, take pictures of the damaged items. Be sure to collect all relevant receipts, as they will strengthen your claim.

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Renters’ insurance helps you recover any losses that you may incur while living in your apartment. If you follow the guidance above, you will have peace of mind as a tenant.

Choose an insurance company that has existed for more than five years and one that has a solid reputation among its clients. Be sure to follow your property manager’s rules for maintaining the apartment, since this may keep you from having to file a renters’ insurance claim. Update your policy every few months and look over it to see if there are any issues that you could be concerned about. Finally, save some of your income in the event the insurance company will not cover the loss of certain items.

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