Statistics show that approximately 1 out of every 2 renters have renters insurance. 

Some people choose not to get this type of insurance because they misunderstand how the insurance works and what the benefits might be. Below, we’ve debunked five renters insurance myths to help you decide if renters insurance is right for you. 

Myth 1: Renter’s insurance costs too much.

Renter’s insurance is a low-cost type of insurance that many people can afford in their monthly budget. According to the National Real Estate Insurance Group, typical renter’s insurance policies cost between $15 and $30 per month.

For many people, this is an affordable expense that can fit into their household budget. There are also many things you can do to make renters insurance more affordable. Some examples:

• Shop around for a policy you can afford
• Opt for a higher deductible
• Bundle renters insurance with other insurance policies (like car insurance)

Myth 2: My landlord’s policy will cover my belongings.

Landlords usually have insurance policies that cover the building structure and furniture items found in common areas (like in the lobby of an apartment building). These insurance policies do not cover renter belongings. Renters must have their own insurance policy to protect their belongings. 

In fact, some landlords require their renters to have their own insurance policies. You can find out if you’re required to have renters insurance by reading your lease. If you’re shopping for an apartment, you can ask about this when looking at apartments. 

Myth 3: Renters insurance only covers your belongings.

Renters insurance covers a lot more than personal possessions. A typical renters insurance policy will also cover living expenses if you have to temporarily move out of your apartment due to a covered event, like fire or lightning strike. 

Typical renters insurance policies also cover liability insurance and will pay for medical bills if you cause an injury or damage to someone else’s property. 

You can find out exactly what’s covered by your renters insurance by reading the policy and asking questions of your insurance agent when you read something you don’t understand. 

Myth 4: Renter’s insurance isn’t worth it. 

The cost of renter’s insurance is low, and the rewards of renters insurance can be high. Consider your bank account and financial status. If most or all of your belongings were damaged or destroyed tomorrow, could you afford to replace them? Most people could not. With a renter’s insurance policy, you would have an additional layer of financial protection.

Once you have renters insurance, you can continue to get the most value out of your policy possible by reviewing your policy every year. Go over your coverage annually to ensure that your policy will pay to replace or repair items that have been damaged, broken, or destroyed during a covered event. Your insurance agent can walk you through this process.

Some belongings, like jewelry and expensive electronics, may not be fully covered by a standard renters insurance policy. If you own expensive computer equipment or an expensive engagement ring, talk to your insurance agent. Your insurance agent may be able to add additional coverage to ensure that your policy provides the maximum protection you need. 

Myth 5: I’ll never need renter’s insurance. 

No one thinks a covered event will happen to them. Fires, lightning strike, burglaries, and other covered events are rare. When they happen, they often come as a surprise to the victims.

Keep this in mind: insurance pays about $1 billion in insurance claims for lightning damage each year. Property damage caused by fires was $23 billion in 2023. And, a million burglaries occur each year. 

While you may think that you’ll never need to file an insurance claim, covered events happen all the time. Having the protection of renters insurance can save you thousands.

If you need renters insurance, call today to learn more about getting an insurance policy.