Renters insurance is an excellent, affordable asset for seniors who rent their homes. Renters insurance covers your belongings and protects you if a visitor gets injured. If you live on a fixed income, renters insurance provides this coverage and more at a reasonable price.
This article covers:
Why do seniors need renters insurance?
Many lease agreements require renters insurance, regardless of your age. Even when it's not required, though, there are multiple reasons why senior citizens should seriously consider renters insurance, such as if you live in a senior community, own your furniture or have a pet.
You live in a senior community
While your community's insurance covers the structure of the building you live in, its coverage ends there. Renters insurance helps to maintain your peace of mind and wallet against unforeseen perils.
You own your furniture
While some assisted living communities provide furnished residential rooms, you may also have your own furniture. If you do, you should have renters insurance to provide coverage that your community does not.
Physical liability protection
Liability protection is not extended to resident rooms in assisted living communities. If you have frequent guests, such as family or friends, renters insurance can help cover you if they're injured.
You have a pet
Many senior living facilities allow residents to keep pets. However, insurance coverage for them is up to you. If a pet scratches a nurse or bites a visitor, you may be liable for their medical and legal expenses. Paying out of pocket for a long hospital stay or an extended court case can deplete your retirement fund. Renters insurance helps avoid that.
What does renters insurance cover?
Renters insurance primarily covers your belongings and liability. Specifically, renters insurance covers your belongings for repair and replacement, up to your policy limits, if they're damaged or destroyed by perils including:
Renters insurance also covers possessions stolen out of your car or a storage facility.
The liability portion of your renters insurance policy covers you if you are responsible for someone getting injured in your rental unit. In such situations, your coverage takes care of legal fees and medical bills that may arise.
Furthermore, if you have to relocate while your rental home is being repaired after a covered peril, renters insurance covers additional living expenses such as:
- Higher rent payment
- Restaurant meals
- Rental furniture
Find cheap renters insurance for seniors
How much does renters insurance for seniors cost?
Our research shows that the average cost of renters insurance is $10 a month. Your final premium is affected by the following factors:
- Location: Living in an area with a lower risk of natural disasters, a safer neighborhood or outside the city can lower your renters insurance costs.
- Crime: Do you live in an area with a high crime rate? Unfortunately, this could raise the cost of your insurance. Statistics show that cities have higher crime rates and some neighborhoods are safer than others.
- Safety: If your rental home has features like deadbolts, a security system, alarms and sprinklers, insurance companies take these features into account when calculating your premium.
- Coverage limits: How much coverage you choose is directly linked to the price of your premium. Actual cash value (ACV) and replacement cost can affect your coverage levels and costs. Your deductible is also an important factor in the price of your renters insurance. In general, the higher your deductible, the lower your premium.
- Credit score: If you have a low credit score, your renters insurance rates could be higher, and vice versa.
Renters insurance exclusions
When purchasing a policy, you should be aware of what renters insurance does not cover. Common exclusions include:
- A roommate's belongings
- Personal business items
- Expensive items over a set amount
- Damages covered by your landlord's insurance
- Acts of war
Frequently asked questions about senior renters insurance
Q: Does my assisted living center's insurance cover my belongings and liability?
A: Not usually. Their insurance will cover any furnishings they provide, but you need to have renters insurance to cover your own belongings.
Q: Are my belongings covered outside of my rental home?
A: Yes. Renters insurance covers belongings outside of the home. This means if you carry your phone with you and it's stolen, your renters insurance can help replace it.
Q: Can I protect high-value items like artwork and jewelry?
A: Renters insurance policies usually include an average of $1,500 to replace valuable items. If you need more coverage for valuables such as artwork or jewelry, you can purchase additional insurance for individual items. This additional insurance is sometimes called a "floater" or "endorsement." You will likely need to get the item appraised before you can add it to your coverage.
QuoteWizard.com LLC has made every effort to ensure that the information on this site is correct, but we cannot guarantee that it is free of inaccuracies, errors, or omissions. All content and services provided on or through this site are provided "as is" and "as available" for use. QuoteWizard.com LLC makes no representations or warranties of any kind, express or implied, as to the operation of this site or to the information, content, materials, or products included on this site. You expressly agree that your use of this site is at your sole risk.