Ai Ling Lee of Hacienda Heights shares 6 reasons to buy renters insurance

Renters insurance isn’t often required. But Ai Ling Lee AKA Linda Lee of Hacienda Heights knows it’s a necessity.

Simply put, these policies protect your stuff. Even if you don’t own a home or condo, your belongings are valuable. Yet it’s also an investment in your safety and security. In the event of an accident or natural disaster, renters insurance has you covered.

Unfortunately, few renters fully understand its importance. While 95% of homeowners carry an insurance policy, an Insurance Information Institute (III) survey found that only 37% of tenants had purchased renters insurance. And this comes when renting is at an all-time high. According to the most recent Census Bureau statistics, nearly 43 million people rent in the U.S.

A major reason for the lack of renters insurance is misunderstanding or lack of information. Ai Ling Lee is here to set the record straight. Since 1986, she has worked as an independent insurance agent. Using her experience, she lists six reasons every renter should have their own insurance.

Lack of coverage from landlord’s policy

Sure, your landlord has insurance. Renters often incorrectly assume they will fall under this plan too. However, these policies cover a building’s physical structure and not anything inside. Without renters insurance, you are leaving yourself exposed.

Protect personal property

Renters insurance protects your belongings and anything else that’s inside. This includes furniture, electronics, clothing, jewelry, and anything else of value if it is damaged, destroyed, lost, or stolen. Keep in mind this only applies up to your policy’s limit. Ai Ling Lee AKA Linda Lee advises clients to make a list of all possessions to ensure proper coverage. It also helps to take pictures of your belongings for your personal records as well.

Provide liability

Liability is standard in most insurance plans. If an accident does occur where you are determined to be at fault, these protections kick in. This covers both bodily harm or property damage to yourself or others. Medical expenses and legal fees are also typically rolled into liability coverage.

Cover additional living expenses

If a rental becomes uninhabitable, you may have to relocate. Known as “loss of use,” renters insurance will reimburse any extra expenses that are incurred during this time. While this varies depending on the policy, it could include meals, travel, and finding a new, temporary residence.

It’s affordable

Owning renters insurance offers little downside. In fact, the III reports the average premium for renters insurance was $179. Although location and a rental’s size impacts pricing, California is close to the national average. As Ai Ling Lee points out, this is less than $15 per month. It’s a small price to pay for peace of mind.

Keep belongings safe anywhere

Surprisingly, this protection travels. Whether your possessions are at home, a car, or on vacation, you can still enjoy the benefits of renters insurance. Your policy should list “other covered losses.” Or, ask your agent to review these with you.