Do I need insurance if I’m renting?
Renting is a great way to go if you’re looking to get some independence or are moving in with a loved one, but what kind of insurance do you need?
Moving into a new property can be an exciting time in your life, but can also come with many new challenges to navigate as you find your feet. Many landlords ask for a security deposit before moving in to cover the cost of any damages that occur accidentally during your tenancy.
Having insurance to cover these mishaps can be the difference between getting your deposit back or losing it when your tenancy is over. This is where tenants’ liability insurance steps in.
If you’re a first time renter or are looking to rent soon, check out Finatical’s guide to renting in 2024 to learn more about what to expect.
What is tenants’ liability insurance
In a nutshell, tenants’ liability insurance is for renters and can cover you if you damage or break any of the landlord’s property or fittings that were already in place when you moved in.
It won’t however cover general ageing and wear. Insurers will often include tenants’ liability insurance within a contents insurance policy if you choose to take one out.
Contents insurance covers any damaged, destroyed or stolen items that are your personal belongings. Unlike car insurance, tenants’ liability insurance isn’t a legal requirement and is personal preference whether you want to take out a policy.
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If you’re getting a policy with contents insurance attached, it is also important to calculate the value of your belongings that you wish to cover.
What do I need to know about my property
There are a number of things you’ll need to know about your property before starting your quote. It is important to know;
- The type of lock to the main entrance of the building;
- The type of lock on your front door;
- The type of locks on your windows; (including patio and french doors)
- The value of what you want to cover;
- The material of your roof ;
- If the property is within 400m of a large body of water (in case of flooding)
All of these factors contribute to the price of your quote. Entering these details into a price comparison website can save you time entering into multiple different sites such as Confused.com, Compare The Market, MoneySuperMarket and Go.Compare.
If you’re getting a policy with contents insurance attached, it is also important to calculate the value of your belongings that you wish to cover. This includes electrical items (TV, games consoles, white goods), personal items such as jewellery, as well as furniture.
Conclusion
So, do I need insurance if I’m renting? It may give you extra peace of mind to know that even if accidents do happen, they will be covered and you won’t have to endure any surprise costs.
On the flip side, if things are a bit tight, the good thing is that this kind of insurance isn’t legally required so it can be one of the monthly expenses to cut back on. Make sure to put in your own research before making your decision.
Hello! I’m Chloë. I’m at the beginning of my freelancer journey and I am excited to now be writing for Finatical! I am also excited to have finished my studies and I am now awaiting my results for my MA in specialist journalism. My BA in Drama and Media has given me a wide background and I am able to adapt quickly to many different topics. In my personal time, I enjoy spending time with my friends and walks with the dog.