Renters Insurance and Extra Contents Coverage

What is the overall total value of your belongings? If you’re not sure, there’s a good chance that you’re underinsured. Your landlord is responsible for the building structure, so renters insurance is purely for the protection of your stuff that you moved into the unit. The best way to protect that stuff is to make sure that you have enough insurance coverage in case you experience a loss.

In some cases, you may need more overall coverage. For instance, your policy may have $15,000 worth of coverage, but you own about $20,000 worth of belongings. In other cases, high value items or collections — such as jewelry, fine china, artwork, musical instruments, golf clubs and more — may have coverage caps or may be excluded from your policy, which may require policy riders. In either of these cases, it’s important to work with your independent insurance agent to adjust your renters insurance policy so all of your belongings can be fully covered.

One of the decisions you’ll have to make is whether you want actual cash value coverage or replacement value coverage. What’s the difference? Actual cash value coverage accounts for depreciation and covers items at their current market value, meaning that your payout may not fully pay for replacements. Replacement value coverage covers the full cost of replacing items, regardless of whether or not they’ve appreciated or depreciated.

Bear in mind, the best way to ensure that you have enough coverage is to create a personal inventory, which is a list of everything you own and their respective values. This will give you the overall total value of your belongings so you know how much coverage you need. Specialized riders may require you to appraise certain items to verify their value.

Get the coverage you need. Call Guardian Insurance at (855) 464-8273 for more information on Lawrenceville renters insurance.