What is renters insurance?
As the name indicates, renters insurance covers the contents in a rented house or apartment. It is in many ways similar to home insurance or home contents insurance.
What does renters insurance cover?
Possessions of the renter against loss and/or damage caused by robbery or drastic weather conditions.
Damage due to fire or smoke, water building collapse etc.
Repairs to damaged goods and if necessary the replacement of items.
Many people make the mistake of assuming that their landlord’s insurance will cover them in the event of an accident or damage caused by fire or water. The reality is that renters are liable for their own property.
How renters insurance quotes work:
This type of insurance pays the amount equivalent to the market value of the items that have been insured.
Quotes provide estimated cover for people who live on an individual property.
Renters insurance in South Africa:
In the South African context, it’s important to take into account the history of migrant labour and how major cities increased in population over the years.
As a result of migrant labour (which continues today), the major cities of South Africa experience a large influx of individuals on a daily basis. This makes accommodation rental very popular in South Africa. The harsh economic conditions and strict lending criteria of the banks have also made it increasingly challenging for individuals to buy their own homes. Many people opt for renting instead. This has made rentals a lucrative business.
In South Africa, landlords are not liable for any damage caused to renters’ belongings. It’s always advisable for individuals renting a property to get renters insurance.
How to get the best renters insurance quotes:
- Be clear about how much coverage you need.
- Look for apps that could help you to catalogue your possessions with pictures.
- The quote should clearly identify exactly what you’re insured against. Cover is usually provided for theft, water damage, vandalism, fire, smoke and lightning.
Type of renters insurance coverage:
- Personal property
- Liability coverage
- Medical payments to others
- Additional living expenses/loss of use
