Renters Insurance and Vacation Properties

When looking for the best renters insurance, remember that you want to find an affordable and worthwhile policy to protect your possessions.

A renters’ insurance policy should also be a serious consideration if you are planning a trip to a vacation residence, a time share, a rental property, a home exchange or should you decide to rent out your residence during the year.

As you search for the best renters insurance, remember that your renters’ insurance policy can provide a portion of the coverage for damage to the property where you will be temporarily residing.

In most cases as a renter, you will not be responsible for damages caused by unavoidable accidents like faulty plumbing. Do note, however, that there are circumstances where you might be held responsible for damages that are the result of your negligence, and you may be expected to compensate the owner of the property for damages.

When you go on vacation, you are likely to take different possessions with you such as clothing, camera or a laptop. These kinds of items will typically be covered through your primary renters’ insurance policy.

Be sure to talk with your insurance agent to find out how much coverage you presently have and even consider increasing the coverage, if necessary. Note that your insurance agent may tell you to schedule specific coverage for items like jewelry, cameras and other high value possessions.

Should you own a secondary, seasonal or vacation residence, it might be covered by an endorsement through your primary homeowners’ insurance policy, covered under a separate homeowners’ policy or covered through a separate dwelling property policy.

Keep in mind that coverage needs can vary from area to area, so don’t just assume that your renters’ insurance policy is good everywhere you go. Discuss with your insurance agent if you think you may require flood insurance or added coverage to deal with wind, hurricanes or earthquakes.

If you have an umbrella policy to provide you with excess liability coverage, the policy might not automatically extend to any new property you rent.

In order to make sure the umbrella policy meets your liability insurance requirements, carefully review your policy with your agent.

If you hope to make a little extra cash by renting your home out, be sure to review your renters’ insurance policy and talk it over with your agent.

Among important questions to ask include:

• Does the policy cover damage to my property caused by the renters?
• Does the policy cover bodily injury or medical expenses of a renter injured during their time at the residence?