A Guide to Renters Insurance

You have found your perfect rental property; it’s in an ideal location, priced well, and nicely finished. Once you move your possessions into your new home, you can begin exploring your new neighbourhood. The only thing that weighs on you is the ever-present risk of something happening to your new home while you are out exploring, working, or travelling. Fire, flood, theft, and damage can turn an ideal renting situation into a costly and emotional headache. According to Statistics Canada, less than half of the renters in Canada have renter’s insurance, but certainly more than half of all renters worry about the possibility of something going wrong with their rental property. Renter’s Insurance is a valuable safeguard against many forms of damage and liability that works to provide you peace of mind and, allows you to enjoy your new rental property stress-free. 

What Does the Renters Insurance Cover?

In Canada, renters insurance can provide various levels of coverage, but commonly protects renters from the liabilities associated with fire, water damage, storms, and vandalism. Additionally, certain plans can provide coverage for property the renter keeps in their vehicle, personal property at other locations, and non-owned property. Renters insurance, in some cases, will also cover your personal liability and living expenses associated with damage occurring to your rental property. Personal liability coverage would assist a renter in the event that someone was injured on their property and sought compensation. In the event that property damage forces you to put your possessions in storage, or you need to stay a hotel or other accommodation, many renter’s insurance plans will provide coverage for these costs. Coverage will ultimately depend on your provider, deductible, and premium, but basic plans provide will provide the relief renters need to get through challenging situations. 

Landlords and Renter’s Insurance 

In some cases, your landlord may require you to purchase renters insurance in order to secure a lease for their property. In other cases, the landlord will have insurance built into your rent that covers property damage, loss, and theft. Always clarify with your landlord prior to signing a lease regarding any insurance that they have for the property, as well as what they require of you in order to sign a lease. If you have questions about what your landlord’s insurance covers, or how to insure that you have the proper insurance needed to secure a lease, contact a RentFaster agent today.

Where can I get Renter’s Insurance?

RentFaster.ca has partnered with Nuera Insurance to bring landlords a reliable way to ensure their tenants have the proper insurance coverage. Tenants can obtain renters insurance quickly and conveniently online, once this has been done your landlords will receive email confirmation when you purchases, renews, or cancels your insurance policy. Tenants will also receive web-exclusive pricing and an additional 5% discount through the Rentfatser partnership with Nuera Insurance. In just a few quick steps you can receive renters insurance

How much is Renter’s Insurance?

The cost of renter’s insurance is broken down into a deductible fee plus a monthly payment, and like other forms of insurance, the higher the deductible you pay, the lower the monthly premiums will be. In Canada, the average plan will provide you with somewhere between $30,000 and $100,000 in content coverage to recover damaged, destroyed, or stolen property. More importantly however, is the average $500,000 – $1,000,000 liability coverage, which will go a long way in protecting your finances of someone is injured on your property and can claim damages against you. These amounts are used in a worst case scenario, but having both of these coverage values in place can help you sleep easier at night. So what does this coverage run you? Not a lot compared to the benefit it can provide! Typical plans in Canada work out to $200 a year on average in monthly payments, plus a deductible of around $200-$500 (a higher deductible reduces your monthly amount). Keep in mind that you will need to determine a value of your possessions to pick the best coverage plan. All in all, for the price of your laptop, you can protect your laptop, phone, couch, tv, stereo, clothes and more from damage and loss. This sounds like a worthwhile investment in peace of mind. 

Need further help or have additional questions, contact Rentfaster.ca today or read through similar articles and blogs.