Why Tenant Insurance is Very Important
Talking about tenant insurance, it seems like there are two common issues for many Canadian insurance companies, which is home & auto. Well what happens when you’re one of many Canadians who rents an apartment, condo or basement. Auto insurance policy may benefit you, but what if house insurance doesn’t? Tenant insurance is another thing you will have to consider in your insurance policy.
Tenant insurance is too often ignored by many insurance policy holders and it shouldn’t be. Having a tenant insurance policy is as important to a tenant, as house insurance is to a homeowner. Here’s why;
- Liability Insurance
When you purchase a tenant insurance policy, one of the coverages you are getting is liability coverage. This coverage will cover you in the event that a third party takes legal action against for many various reasons. The best example I can give to stress the importance of liability coverage is that liability coverage will protect you if you burn down your apartment and your building owners insurance company decides to sue you for damages. Tenants everywhere need to remember that their landlord’s insurance policy is not their insurance policy.
- Personal Property
unfortunately many people don’t learn about tenants insurance until their belongings are stolen. I can’t stress this enough, your landlord’s policy doesn’t cover you or your belongings.
- Additional Living Expenses
If there was a fire in your apartment today, where would you go tomorrow? Another important coverage on tenant insurance is Additional Living Expenses. This coverage will cover the costs that occur should you have to relocate to another apartment or hotel due to a named peril.
- Insurance History
one of the best reasons to get a tenant insurance policy is for the insurance history that you are creating. Insurance companies love giving house insurance to people who have a insurance history, and will usually reward them with lower rates.