Victoria
08-28-2007, 03:35 PM
This doesn't just apply to those living in military housing.
http://www.cnrc.navy.mil/insurance.htm
Who Needs Renter's Insurance?
You do! That is, if you rent or live in military housing and can't afford to replace personal valuables such as stereos, cameras, computers, clothing, jewelry, bicycles, televisions or other belongings if stolen, damaged or destroyed.
As with all military housing, the Government Leased Housing program will not reimburse or replace personal items lost due to theft, fire or other natural disaster. We strongly encourage you to protect your personal effects through some kind of Renters Insurance.
It is very important for those who live in town homes, condominiums, apartments or single-family detached homes to obtain renters insurance as the only sure way to protect their assets in case of fire, theft or similar mishaps. The best way to protect against losing everything is to be prepared. Apartment and condominium fires occur fairly regularly in many metropolitan areas.
Common Q's & A's about Renter's Insurance
Q. Does renter's insurance cover all my possessions?
A. It depends. Some possessions - jewelry, computers, and expensive cameras - are often subject to a per-category theft limit (for example, some policies have a $5,000 limit for computers). When seeking information on renter’s policies, ask about the various category limits and how they apply to expensive items you own. You may purchase a personal property rider, providing additional coverage for specific items not included in your basic policy.
Q. Is my property covered away from home?
A. Yes, but coverage may be limited. Restrictions in terms and the amount of coverage might apply (from 10 percent of your personal property coverage to full value). Ask your agent for details. Your liability coverage does not change.
Q. What happens if my rented or borrowed items are stolen?
A. Items that are "in your possession" are covered under a standard renter’s policy..
Q. What if my insurance company does not respond to a claim?
A. Your state insurance department or local consumer protection office can answer questions on filing claims and also take complaints.
Q. Is my bicycle or car covered by renter's insurance?
Your bike is protected by a standard renter’s insurance policy. Motor vehicles are not covered. A separate insurance policy is needed to protect your car, van or motorcycle.
How do you Buy Renter's Insurance?
TAKE AN INVENTORY. Before purchasing, make an itemized list of everything you own with price estimates, serial numbers, receipts (if possible), and purchase dates. Your inventory will help ensure that you purchase the right amount of insurance - not too much or too little. Also, an inventory will help make filing a claim easier. Make copies of this inventory and keep it in a safe place outside of your home (at work, in a safety deposit box or friend's house). Take photographs or a video of your property since this can be helpful when filing a claim.
MAKE AN INFORMED DECISION. Ensure you ask the insurance agent about:
THEFT LIMITS. For example, most renter's policies have a $1,000 total limit on jewelry that is stolen, a $3,000 - $10,000 limit for computers and $2,500 - $10,000 for silverware or flatware. Policies vary, so ask questions. Ask for a list of standard coverage limits so you know whether you'll need to buy a personal property riders, which provides additional coverage for some of your items.
CASH OR REPLACEMENT VALUE. Your policy can insure possessions one of two ways - for either the cash or the replacement value. Cash value coverage takes into account the age and condition of items at the time of damage or loss. Replacement value pays today's cost of a new item when replaced. For instance, if your five-year-old TV is stolen, a cash value policy will pay part of the original purchase price while a replacement policy will reimburse the current price of a comparable set. Replacement value policies tend to cost more, and there may be other requirements as well.
DEDUCTIBLE OPTIONS. Find out about the deductible - you’re out-of-pocket cost. The lower the deductible, the more the policy will cost you.
SEEK DISCOUNTS. Some insurance companies may offer discounts to their auto policyholders interested in buying a renters policy from them. Also, you may be eligible for discounts if your apartment or home has a security system, smoke detectors, or deadbolt locks. Additional discounts may be available depending on your age or whether you are a non-smoker. Policies vary. Examine as many options as possible.
SHOP AROUND. Find an insurance agent or insurance company representative with whom you are comfortable. Ask friends or relatives or consult the yellow pages. Call a variety of insurance companies and agents. Ask questions. Keep your inventory handy, so you can find the amount of coverage that is most appropriate for you ($16,000 is usually the smallest amount of coverage you can get).
READ YOUR POLICY. An insurance policy is a contract between you and your insurance company. Read the policy carefully. If you have questions or if something is unclear, call your insurance company representative. Don't sign the contract unless you fully understand the company's responsibilities as well as your own. An insurance policy spells out several obligations for both you and the company. For example, the company has a duty to defend the insured renter in court if the renter is sued for a covered loss. On the other hand, you must give the insurer complete, accurate and timely information.
The Scoop on Renter's Insurance
http://realestate.msn.com/rentals/insurance.aspx
Common Misconceptions
If you're wondering what's the big deal about renter's insurance—like you need another way to spend your monthly paycheck?—first consider these common misconceptions:
It's cool—my landlord's covered. In most cases, a landlord's insurance covers only structural damage to the building itself—and many landlord policies don't even go that far if the damage is caused by a tenant. If you leave the tub running and it turns your floor into cardboard and dribbles downstairs, damaging your neighbor's couch, you may be liable for the whole drippy mess. If your building went up in flames, your landlord's coverage would include repairs, but only to the building, not to the possessions of tenants.
It's out of my price range. Is $10 to $20 per month too much? In March of 2002, unofficial online quotes from two major carriers produced annual rates of $147 ($12.25 per month) and $203 (under $17 monthly) respectively. Both quotes were for a fictional five-room house in Boulder, Colorado, covering the basics for "standard" personal property valued at $35,700 (the automated figure produced by one company). Both quotes had a deductible of $500 per incident, and included medical coverage for others, on-premise or off-premise. Assumptions were that the house contained a smoke alarm and fire extinguishers. For lower rates, you can raise the deductible; for more protection, you can pay more for replacement cost coverage, in which reimbursement is based on today's replacement cost rather than original value.
I'm in a great building, and I'm not worried about security. Renter's insurance extends beyond on-premise theft and hazards. If your suitcase is stolen while you're on vacation, you'll likely be covered. Same with property stolen from your car. If you're prone to barroom brawls—well, you might need more help than renter's insurance, but you'll probably be covered if you hurt someone. Speaking of injuries, you'll also likely be protected if someone slips and sprains their ankle at your annual dance-a-thon; you may even receive compensation for legal defense costs in the case of a lawsuit.
My stuff isn't really worth much. You might be surprised at how quickly all those books, CDs, and kitchen appliances add up. According to StateFarm.com, most people own more than $20,000 worth of property. Refer to the lists in this article to make an inventory of your possessions prior to contacting an insurance carrier for a quote. (Some Web sites help you with this step, such as http://www.statefarm.com/insuranc/renters/howmuch.htm.) List each item along with its year of purchase and what you think it would cost to replace it today.
Types of Coverage
Personal property coverage
As with any insurance policy, coverage varies by state, company, and type, but here are some basic examples of personal property to include in your inventory. Items not listed here may still be insurable; ask agents about customizing your policy with more options.
Property typically covered:
Stereo systems, VCRs, and television sets
CDs, DVDs, videos, and tapes
Cameras and other photography equipment
Movable appliances, including microwave oven
Furniture
Sports equipment
China and glassware
Clothing
Books
Miscellaneous
Property typically covered with limitations:
Home computers
Cash, including coin collections
Checks, traveler's checks, and securities
Jewelry and watches
Precious and semi-precious stones
Comic books, trading cards, and stamps, including collections
Antiques and fine art
Goldware and silverware (theft)
Rugs, wall hangings, and tapestries
Firearms (theft)
Furs or clothing trimmed in fur
Boats or other watercraft, and related equipment
Natural hazards coverage
Again, natural-hazard coverage varies by state and company, but most policies protect your property against losses created by the following:
Vandalism
Water damage from failure of plumbing or appliances
Frozen water pipes
Hail
Windstorm
Smoke
Explosion
Vehicles or aircraft
For a higher premium, most insurance carriers offer options to add coverage for hazards not included in a standard renter's policy:
Earthquake, landslide, or other damage caused by movement of the earth
Water damage cause by an underground source or flooding
Nuclear-hazard damages
Questions to Ask Your Insurance Carrier
Will your insurance cover any property shared by your roommates?
Which items should you take photographs or videotapes of?
What are the limits on specific categories of personal possessions?
What optional coverage is available, including for satellite dish and portable cellular communication systems?
What is the price and protection difference between "replacement cost coverage" and "depreciated cost coverage"?
How should you value fine-art objects?
What circumstances are covered in your personal liability?
What circumstances are covered in the medical coverage for others?
Will you be notified before any rate increases because of policy changes or inflation?
If your building were damaged or destroyed, would you be compensated for interim housing?
How much protection would you have if your home were damaged or destroyed because of an action by yourself or a guest?
Will your personal liability include defense costs in the case of a lawsuit filed against you?
What will your off-premises coverage include, for both personal property and medical liability?
If you're planning to be married, is protection provided or available to cover the value of gifts?
Remember that insurance is about your protection against unforeseeable circumstances. Even if you think "it can't happen here," paying the price of one music CD a month might someday make the difference between an empty house and a replacement-shopping spree.
http://www.cnrc.navy.mil/insurance.htm
Who Needs Renter's Insurance?
You do! That is, if you rent or live in military housing and can't afford to replace personal valuables such as stereos, cameras, computers, clothing, jewelry, bicycles, televisions or other belongings if stolen, damaged or destroyed.
As with all military housing, the Government Leased Housing program will not reimburse or replace personal items lost due to theft, fire or other natural disaster. We strongly encourage you to protect your personal effects through some kind of Renters Insurance.
It is very important for those who live in town homes, condominiums, apartments or single-family detached homes to obtain renters insurance as the only sure way to protect their assets in case of fire, theft or similar mishaps. The best way to protect against losing everything is to be prepared. Apartment and condominium fires occur fairly regularly in many metropolitan areas.
Common Q's & A's about Renter's Insurance
Q. Does renter's insurance cover all my possessions?
A. It depends. Some possessions - jewelry, computers, and expensive cameras - are often subject to a per-category theft limit (for example, some policies have a $5,000 limit for computers). When seeking information on renter’s policies, ask about the various category limits and how they apply to expensive items you own. You may purchase a personal property rider, providing additional coverage for specific items not included in your basic policy.
Q. Is my property covered away from home?
A. Yes, but coverage may be limited. Restrictions in terms and the amount of coverage might apply (from 10 percent of your personal property coverage to full value). Ask your agent for details. Your liability coverage does not change.
Q. What happens if my rented or borrowed items are stolen?
A. Items that are "in your possession" are covered under a standard renter’s policy..
Q. What if my insurance company does not respond to a claim?
A. Your state insurance department or local consumer protection office can answer questions on filing claims and also take complaints.
Q. Is my bicycle or car covered by renter's insurance?
Your bike is protected by a standard renter’s insurance policy. Motor vehicles are not covered. A separate insurance policy is needed to protect your car, van or motorcycle.
How do you Buy Renter's Insurance?
TAKE AN INVENTORY. Before purchasing, make an itemized list of everything you own with price estimates, serial numbers, receipts (if possible), and purchase dates. Your inventory will help ensure that you purchase the right amount of insurance - not too much or too little. Also, an inventory will help make filing a claim easier. Make copies of this inventory and keep it in a safe place outside of your home (at work, in a safety deposit box or friend's house). Take photographs or a video of your property since this can be helpful when filing a claim.
MAKE AN INFORMED DECISION. Ensure you ask the insurance agent about:
THEFT LIMITS. For example, most renter's policies have a $1,000 total limit on jewelry that is stolen, a $3,000 - $10,000 limit for computers and $2,500 - $10,000 for silverware or flatware. Policies vary, so ask questions. Ask for a list of standard coverage limits so you know whether you'll need to buy a personal property riders, which provides additional coverage for some of your items.
CASH OR REPLACEMENT VALUE. Your policy can insure possessions one of two ways - for either the cash or the replacement value. Cash value coverage takes into account the age and condition of items at the time of damage or loss. Replacement value pays today's cost of a new item when replaced. For instance, if your five-year-old TV is stolen, a cash value policy will pay part of the original purchase price while a replacement policy will reimburse the current price of a comparable set. Replacement value policies tend to cost more, and there may be other requirements as well.
DEDUCTIBLE OPTIONS. Find out about the deductible - you’re out-of-pocket cost. The lower the deductible, the more the policy will cost you.
SEEK DISCOUNTS. Some insurance companies may offer discounts to their auto policyholders interested in buying a renters policy from them. Also, you may be eligible for discounts if your apartment or home has a security system, smoke detectors, or deadbolt locks. Additional discounts may be available depending on your age or whether you are a non-smoker. Policies vary. Examine as many options as possible.
SHOP AROUND. Find an insurance agent or insurance company representative with whom you are comfortable. Ask friends or relatives or consult the yellow pages. Call a variety of insurance companies and agents. Ask questions. Keep your inventory handy, so you can find the amount of coverage that is most appropriate for you ($16,000 is usually the smallest amount of coverage you can get).
READ YOUR POLICY. An insurance policy is a contract between you and your insurance company. Read the policy carefully. If you have questions or if something is unclear, call your insurance company representative. Don't sign the contract unless you fully understand the company's responsibilities as well as your own. An insurance policy spells out several obligations for both you and the company. For example, the company has a duty to defend the insured renter in court if the renter is sued for a covered loss. On the other hand, you must give the insurer complete, accurate and timely information.
The Scoop on Renter's Insurance
http://realestate.msn.com/rentals/insurance.aspx
Common Misconceptions
If you're wondering what's the big deal about renter's insurance—like you need another way to spend your monthly paycheck?—first consider these common misconceptions:
It's cool—my landlord's covered. In most cases, a landlord's insurance covers only structural damage to the building itself—and many landlord policies don't even go that far if the damage is caused by a tenant. If you leave the tub running and it turns your floor into cardboard and dribbles downstairs, damaging your neighbor's couch, you may be liable for the whole drippy mess. If your building went up in flames, your landlord's coverage would include repairs, but only to the building, not to the possessions of tenants.
It's out of my price range. Is $10 to $20 per month too much? In March of 2002, unofficial online quotes from two major carriers produced annual rates of $147 ($12.25 per month) and $203 (under $17 monthly) respectively. Both quotes were for a fictional five-room house in Boulder, Colorado, covering the basics for "standard" personal property valued at $35,700 (the automated figure produced by one company). Both quotes had a deductible of $500 per incident, and included medical coverage for others, on-premise or off-premise. Assumptions were that the house contained a smoke alarm and fire extinguishers. For lower rates, you can raise the deductible; for more protection, you can pay more for replacement cost coverage, in which reimbursement is based on today's replacement cost rather than original value.
I'm in a great building, and I'm not worried about security. Renter's insurance extends beyond on-premise theft and hazards. If your suitcase is stolen while you're on vacation, you'll likely be covered. Same with property stolen from your car. If you're prone to barroom brawls—well, you might need more help than renter's insurance, but you'll probably be covered if you hurt someone. Speaking of injuries, you'll also likely be protected if someone slips and sprains their ankle at your annual dance-a-thon; you may even receive compensation for legal defense costs in the case of a lawsuit.
My stuff isn't really worth much. You might be surprised at how quickly all those books, CDs, and kitchen appliances add up. According to StateFarm.com, most people own more than $20,000 worth of property. Refer to the lists in this article to make an inventory of your possessions prior to contacting an insurance carrier for a quote. (Some Web sites help you with this step, such as http://www.statefarm.com/insuranc/renters/howmuch.htm.) List each item along with its year of purchase and what you think it would cost to replace it today.
Types of Coverage
Personal property coverage
As with any insurance policy, coverage varies by state, company, and type, but here are some basic examples of personal property to include in your inventory. Items not listed here may still be insurable; ask agents about customizing your policy with more options.
Property typically covered:
Stereo systems, VCRs, and television sets
CDs, DVDs, videos, and tapes
Cameras and other photography equipment
Movable appliances, including microwave oven
Furniture
Sports equipment
China and glassware
Clothing
Books
Miscellaneous
Property typically covered with limitations:
Home computers
Cash, including coin collections
Checks, traveler's checks, and securities
Jewelry and watches
Precious and semi-precious stones
Comic books, trading cards, and stamps, including collections
Antiques and fine art
Goldware and silverware (theft)
Rugs, wall hangings, and tapestries
Firearms (theft)
Furs or clothing trimmed in fur
Boats or other watercraft, and related equipment
Natural hazards coverage
Again, natural-hazard coverage varies by state and company, but most policies protect your property against losses created by the following:
Vandalism
Water damage from failure of plumbing or appliances
Frozen water pipes
Hail
Windstorm
Smoke
Explosion
Vehicles or aircraft
For a higher premium, most insurance carriers offer options to add coverage for hazards not included in a standard renter's policy:
Earthquake, landslide, or other damage caused by movement of the earth
Water damage cause by an underground source or flooding
Nuclear-hazard damages
Questions to Ask Your Insurance Carrier
Will your insurance cover any property shared by your roommates?
Which items should you take photographs or videotapes of?
What are the limits on specific categories of personal possessions?
What optional coverage is available, including for satellite dish and portable cellular communication systems?
What is the price and protection difference between "replacement cost coverage" and "depreciated cost coverage"?
How should you value fine-art objects?
What circumstances are covered in your personal liability?
What circumstances are covered in the medical coverage for others?
Will you be notified before any rate increases because of policy changes or inflation?
If your building were damaged or destroyed, would you be compensated for interim housing?
How much protection would you have if your home were damaged or destroyed because of an action by yourself or a guest?
Will your personal liability include defense costs in the case of a lawsuit filed against you?
What will your off-premises coverage include, for both personal property and medical liability?
If you're planning to be married, is protection provided or available to cover the value of gifts?
Remember that insurance is about your protection against unforeseeable circumstances. Even if you think "it can't happen here," paying the price of one music CD a month might someday make the difference between an empty house and a replacement-shopping spree.