What does renters insurance cover?

It's important, as a renter, to understand that the insurance your landlord has on the property you live in does not cover your possessions inside. That's where renters insurance come in. Renters insurance covers your personal property, additional living expenses, and personal liability.

Personal Property covers your personal possessions anywhere in the world (subject to certain limitations). If your belongings are damaged or stolen, this coverage can pay to replace them. Beyond your home, if your belongings are damaged or stolen while you're traveling, your renters insurance policy may cover the cost to replace them.

Typically, this coverage will pay you the item's depreciated value. If your six-year-old laptop is stolen, this coverage pays the cost to purchase a six-year-old laptop today. If you have a lot of older possessions, you may want to add Personal Property Replacement Cost coverage, which allows you to make an additional claim for the depreciation.

Additional Living Expenses covers costs you may incur if you are unable to stay in your rental after sustaining significant damage. If your home is damaged and unfit to live in, you may need to stay somewhere else. Some of your hotel stay, food and other necessities can be reimbursed. This coverage may also apply when part of your home can't function as intended. For example, your kitchen is severely damaged, but the rest of your home can be resided in. Additional living expenses coverage may pay for some of your food costs.

Personal Liability provides coverage, anywhere in the world, for damages you become legally obligated to pay arising out of bodily injury, personal injury or property damage as well as the cost of legal defense. This can cover anything from someone slipping on your property or careless use of a grill resulting in damage to your neighbor's house. When you're away from home, your liability coverage can also help in situations like when you drive a golf ball into somebody's window while playing a round.

Content for this advertisement provided by Auto-Owners and Nik Beninato at DPA Insurance Services, 620 E. 23rd St., Fremont. Call 402-704-2145, to discuss all of your insurance coverage options.