A College Student’s Guide to Renters Insurance

The college semester is starting back, and if you’re pursuing a degree right now, you’ll probably either be living in a dorm or a rented apartment or home for the next several months. You may have thought carefully about the people with whom you will live and the furniture you will need—but have you thought about renters insurance?


Renters insurance is an inexpensive investment that can come in very handy in the cases of accidents or theft, and we highly recommend that you or your parents purchase a policy. We’ve laid out the basics below to give you a general idea of what this type of insurance covers.


What is renters insurance?


Renters insurance covers the loss of a renter’s personal belongings in events such as fires, explosions, windstorms, theft, vandalism, falling objects, and similar disasters. It does not, however, cover damage from earthquakes and floods, so if you will be living in an area prone to these events, then you may need to purchase extra insurance.


How do I get reimbursed?


You can get reimbursed for damage done to your possessions in two ways: actual cash value or replacement cost. Actual cash value policies will replace the actual value of your possessions, which includes the original cost and adjustments for depreciation. Replacement cost policies will pay to have your possessions replaced with new items. Replacement cost insurance is more expensive than the other option, so you will need to take inventory of your belongings and decide if the higher premiums are worth it.


What other protections does renters insurance offer?


Renters insurance also provides liability protection in case someone sustains an injury on your rental property due to your negligence or in case you or a family member accidentally injures another person. Insurance will protect you against lawsuits for bodily or property damage, and generally will cover legal representation and damages awarded up to the limit determined by your policy. Many policies also cover no-fault medical payments so those injured on your property can submit medical bills directly to the insurance provider.


If you want to know more about renters insurance, call us at 270-554-4533 and we’ll help find the right policy for you.