Does Renters Insurance Cover Theft

Renters insurance theft coverage is a crucial safeguard for tenants. In the unfortunate event of a burglary, your landlord’s insurance policy won’t cover the loss of your personal belongings. This is where renter’s insurance steps in, providing affordable coverage for theft and other types of damage to your personal property, offering peace of mind at a low monthly price.

What Is Renters Insurance?

Lenders require homeowners with mortgages to carry insurance. Most homeowners with paid-off mortgages continue to carry coverage to protect their assets. Some landlords may require renters insurance, but it’s not usually mandatory. For tenants, however, it’s a wise purchase.

Affordable renters insurance covers your personal belongings in case of fire, vandalism, explosions, and theft. Rental insurance is considerably less costly than homeowners insurance since the structure itself is not covered.

Does Renters Insurance Cover Theft?

Renters insurance theft coverage — a primary reason tenants opt for this protection — offers a flexible solution. After the distress of a burglary in your rental home, the knowledge that renters insurance covers theft provides a comforting reassurance.

Renters insurance may also cover theft that happens outside your home. For example, depending on your policy, a bicycle stolen outside of your rental may still qualify for coverage. Some policies may cover the theft of personal belongings when you’re traveling.

What Does Renters Insurance Typically Not Cover?

It’s important to note that your standard renters insurance policy may not cover especially expensive items unless you buy extra coverage. For instance, if you own jewelry above a certain value, renters insurance theft coverage may not apply unless you covered these pieces separately with additional coverage.

Renters insurance in California or Oregon typically does not cover damage from floods or earthquakes. Also, generally, it doesn’t cover damage from mold, bedbugs, other infestations, and exterior building issues that may affect you.

How to File a Theft Claim With Renter’s Insurance

If you’ve been the victim of theft in your rental home, file a theft claim with your insurance company either online or by calling your insurer’s toll-free number. Make sure you have information about what possessions were stolen.

Tips for Protecting Your Belongings

To receive insurance reimbursement for stolen items in your rental home, you must prove that the items were in your home and that they belonged to you. That means taking an inventory of your valuables when you first purchase the policy and updating the inventory as you purchase new items or discard old ones.

Take videos of the entire contents of each room. Then, take individual photos or videos of valuable items, such as your TV, laptop, and other electronics, musical instruments, jewelry, art, and antiques. Describe each item in detail, including a serial number if applicable.

Always keep the sales receipts for big-ticket items. This will help you prove the original value of the item. If an item has increased in value, such as artwork, estimate its current value through a reputable online source or an appraiser.

Once you’ve documented your possessions, keep an online copy of the inventory on the cloud or a physical copy somewhere other than your rental home in case of severe damage.

How to Choose the Right Renter’s Insurance Policy

Renters insurance policies are not one-size-fits-all. Choosing the right renters insurance policy involves making decisions such as opting for the full replacement cost of a stolen or damaged item or the current actual cash value. This flexibility allows you to tailor your coverage to your budget and preferences.

Many insurers offer actual cash value in a standard renters insurance policy, but you can choose to pay more for the full replacement cost. Actual cash value typically will not provide enough reimbursement to pay for a new replacement item. Meanwhile, full replacement costs allow you to purchase a new computer, big-screen TV, or whatever covered items were stolen.

If you have friends and family with rental insurance coverage, ask them for recommendations. Keep in mind your rates will depend on various factors, including the size of the rental, the selected deductible, and the value of your possessions.

At Wawanesa, your rental insurance policy is tailored to your specific needs. Our dedicated agents will help you choose the right renters policy and answer all of your questions. When it comes to insurance, it’s vital that customers understand exactly what their policy does and does not cover. This understanding will give you the confidence to make an informed choice about your coverage.