Think of all your personal belongings in your dorm room or apartment, and then try to imagine how much it would cost you to replace them. Is the number in your head a little intimidating? Well, if you have renters insurance, you might not have to pay anything (besides your deductible) to get your belongings replaced in the event that something happens to them. In other words, renters insurance can be a real lifesaver. Here are five reasons why it can be important to have it in college:
1. You might not be covered under your parents’ policy
While full-time students living in dorms are often covered under their parents’ homeowner’s insurance policies, their coverage might not be as thorough as it would be if they had renters insurance. In addition, there can be strict limits on how much homeowner’s insurance can actually cover for their customers’ children. And if you’re living off campus, odds are that you’re not covered under your parents’ policy at all.
2. Coverage for disasters
Though you might be careful and take good care of your belongings, there are some things that are just out of your control. If there’s a fire or natural disaster, your items can get damaged or destroyed. However, if you have renters insurance, it can cover the cost of replacing those things in certain covered circumstances. Just some of the items that renters insurance can cover are furniture, clothes, electronics, appliances, school supplies, and even musical instruments.
3. Protection from theft
If someone wants to steal a laptop, they know they’ll be able to find plenty in student housing facilities or student-friendly apartment complexes. It’s no surprise that there’s a high risk of theft and vandalism in college. That’s a big reason why renters insurance can be perfect for college students. If something happens to your belongings, you can get them replaced.
4. Personal liability coverage
If you throw a party, and your living space gets damaged, you could potentially face some huge fees. The same goes if someone at that party gets hurt. Renters insurance policies often include liability coverage that will protect you against costs you can be faced with if your property gets damaged or if someone gets injured on your property, just double check with an agent to find a plan with adequate liability coverage.
5. You can share the wealth
If renters insurance is starting to sound good, you might be thinking that your roommates would be interested in it too. Conveniently, many renters insurance plans offer shared coverage for people living together. So if you have roommates or friends sharing an apartment with you, everyone listed on the lease can have protection and coverage together under one policy.
Knowing how valuable renters insurance can be, you might be surprised to find that it can also be pretty affordable. In fact, based on a national average, premiums are typically just $160 a year. Compare that number with how much you could save if you need to file claim on your belongings. To prepare, you can help the process of filing claims go smoothly by always keeping track of your valuables, and by saving receipts.
For a quick overview of the value of renters insurance for college students, check out this video from GradGuard: http://www.youtube.com/watch?v=EsMfmfGZGEA&feature=plcp
And for additional information about renters and other kinds of insurance, visit http://www.gradguard.com/renters.