Your Guide to Renter's Insurance: The Top Pros and Cons

By Alicia Geigel on November 27, 2017

We are all familiar with insurance in one form or another. Perhaps you are constantly at the doctor, making you aware of your health insurance policy. Or maybe you just got into a fender bender, which brought to your attention the details of your car insurance policy. Regardless of how you were or are exposed to the concept of insurance, there’s no denying the fact that it’s scary sounding. Working in a doctor’s office and dealing with numerous insurance policies and claims, I can definitely attest to its scary nature. Perhaps one type of insurance that is not nearly as marketed as it should be is renter’s insurance. Most of us have heard of homeowner’s insurance, which is usually required because of a mortgage, but what about renter insurance? When approaching the idea of renter’s insurance, it’s important to know exactly what it is, what it covers, and the positives and negatives about having this specific kind of insurance.

Image via Pexels

One important question you may be asking yourself, if you’re not quite familiar with the details of renter’s insurance, is very simply, what is it? Like any other kind of insurance, the goal of renter’s insurance is to protect a good that you possess. More specifically, states, “Renters insurance protects your possessions from damage or theft. In many cases, renter’s insurance protects the contents of your apartment and also protects your belongings when you are away from home.” Essentially, renter’s insurance is a way to protect the goods you have in your apartment or home in the case that something happened that could damage them. For instance, one day you are out shopping and upon your return, you discover that the second floor of your apartment building (where your unit is) has caught fire. If you have renter’s insurance, the possessions in your apartment would be protected. So, now that the goal of renter’s insurance has been established, the pros and cons of this possible form of protection can be evaluated.

Let’s start with the pros.

  1. Protection: Perhaps the most obvious positive element about having any kind of insurance is the protection it provides. In regards to renter’s insurance, you are guaranteed protection for any of your possessions. This not only gives you a sense of peace knowing that your items are secure, but it can also save you money and stress in the long run, if something were to happen.
  2. Affordability: Another great aspect of renter’s insurance is its affordability. According to Chris Bibey, founder of, “While home insurance can often times be expensive, this is not the case with a renter’s policy. For approximately $10-$15 per month, you can receive up to $50,000 of personal property coverage.” Though this is an estimation, the amount of money per month vs. the amount you get in coverage, for some, is worth it.
  3. Liability Coverage: An extra benefit of renter’s insurance is liability coverage. Liability coverage protects you in the event that someone may have gotten injured on your property. For instance, they may have been bitten by your dog, in which case, you would be protected.

    Image via Pexels

Though the positives of having renter’s insurance are plentiful, there are also some negative aspects, which include:

  1. Cost: Though affordability of renter’s insurance is listed as a pro above, for some it can also be a con. For one, it is an extra cost on top of your monthly bill, so if you have trouble keeping track of payments or sometimes have trouble getting payments in on time, this may be burdensome to you. Additionally, if you have but never use your renter’s insurance (say, you have no reason to), some can view this as wasted money, perhaps money that could have gone to a better cause.
  2. Deductible: Like other forms of insurance, renter’s insurance has a deductible, or a specific amount of money you have to pay before your insurance company pays for a claim. In the case of renter’s insurance, a deductible may make the overall purpose of having insurance, pointless. According to, “If your possessions aren’t worth very much, the deductible may eliminate the benefit of the insurance entirely.” For example, if the most valuable and expensive item you own is a $1700 camera, then you will have a $1700 deductible. There are options to lower your deductible, however, if you opt to do this, your monthly premiums will increase.

Insurance and insurance policies can be tricky and difficult to understand, especially when it comes to your home. With renter’s insurance, there are reasonable positives and negatives, which can make the decision process difficult. Ultimately, most renters choose to have renter’s insurance because the cost of having it is worth the amount of protection you receive in return. If you find yourself in a pickle thinking about your choices, consider one thought, “can I afford to replace all of items if they are damaged, stolen or destroyed?” This idea helps put things into perspective and can hopefully make your decision clearer. As always, good luck!

By Alicia Geigel

Uloop Writer
Temple alum | columnist at Uloop News | photographer | food blogger if you want to learn more about me, visit my profile and check out my articles!

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