Whether you own or rent your home, it’s still filled with all the things that make your life both practical and comfortable. Many people are somewhat familiar with homeowners insurance, but may not know much about renters insurance. So what are the differences?
Renters insurance is designed to protect your belongings from damage and theft. It’s up to the landlord to purchase insurance that covers the building structure and common areas like community amenities and parking lots. Because this policy only covers your assets and not infrastructure, it is very affordable to purchase, costing an average of about $200 per year. Many renters insurance policies also come with liability coverage to cover expenses associated with visitors’ injuries and/or property damage. Unlike car insurance, there are no laws dictating that you must purchase renters insurance; however, some landlords may require you to provide proof of coverage.
Homeowners insurance is designed to protect not only your belongings, but also the structure of your home and other structures on your property such as fences and sheds. In fact, while renters insurance focuses more on assets, homeowners insurance focuses more on the house itself. Because of this, many standard home insurance policies may not come with enough contents coverage; in these cases, you can easily tack additional contents coverage onto your policy as a rider. Certain collectibles and high-value items may have coverage caps unless you add on specialized riders, so be sure to speak with your independent insurance agent to ensure that you’re fully protected. Like renters insurance, home insurance also includes liability coverage and is not required by law, but may be required by your mortgage lender.
Need coverage? Call Texas Insurance Agency at (713) 675-2626 for more information on Houston renters insurance.