If you're shopping for renters insurance, you're probably already comparing prices. But you may want to consider other factors as you decide which policy is right for you.
Once you have multiple renters insurance quotes in hand, start by looking at the coverages each one offers.
For instance, most renters insurance policies include coverage for personal property, liability and additional living expenses.
Personal property coverage may help protect your belongings from certain risks, such as fire or theft. You'll usually have to decide what type of personal property coverage you want: actual cash value or replacement cost.
Actual cash value takes into account depreciation of your belongings.
Replacement cost coverage generally provides reimbursement for the amount it would cost to purchase the same or a similar item today.
Then there's liability coverage. Liability coverage may help prevent you from paying out of pocket for costs such as medical bills if you are found legally responsible for a visitor's injuries or repairs if you cause damage to the home you're renting.
Finally, coverage for additional living expenses may help pay for temporary housing and certain other increased costs, such as restaurant bills, if your rented home becomes uninhabitable due to a covered peril.
Make sure the renters insurance quotes you're comparing offer the same coverages — at they all include the protections you want and need.
Next, keep in mind that every coverage has a limit. That's the maximum amount the policy will pay toward a covered loss.
Ask yourself, "Are the limits the same in all the policies I'm considering?" and "What limit am I comfortable with?"
Make sure the renters insurance policies you're considering have comparable coverages and limits. That may help you accurately compare your options.
