renters coverage
Renters Insurance
The cheapest insurance you will ever buy — and one of the most universally underpurchased.
Typical Low
$120/yr
Typical Mid
$200/yr
Typical High
$380/yr
What it is
Renters insurance covers three things at a tiny cost: your personal property (theft, fire, water damage), personal liability (someone slips in your unit), and additional living expenses (hotel costs if your unit is unlivable). It does not cover the building itself — that is your landlord's responsibility.
Who needs it
- Every renter
- College students living off-campus
- Roommates (separate policies recommended)
Common mistakes
- Assuming the landlord's policy covers your belongings (it does not).
- Carrying $100k liability when $300k costs only $20/yr more.
- Skipping replacement-cost coverage and getting depreciated payouts.
Recommendations
- Always elect replacement cost over actual cash value.
- Photo inventory all major items annually.
- Bundle with auto for typical 5-10% savings on both.
Insurance Health Score impact
Going from no renters insurance to a standard policy adds 12-18 points to your Health Score.