Find Low Renters Insurance Rates

There are a number of factors that can affect your renters insurance rates, one of the main ones being the level of coverage you require. If you are a tenant you will need to estimate how much coverage you need to protect you against loss, but be careful not to go overboard so you don’t end up paying for insurance you don’t need. Naturally, the lower the amount of coverage you take out, the lower your insurance rates will be.

Higher Deductibles Mean Lower Insurance Premiums

When taking out renters insurance you will also need to work out how much of a deductible you can afford. The higher the deductible, the lower the rate—but make sure you have enough cash to pay the deductible in the event of a claim.

Actual Cash Value vs. Replacement Cost Coverage

Another rate-related factor to consider is whether you opt for an Actual Cash Value policy or a Replacement Cost policy. If you choose Actual Cash Value the insurance company will only pay you the cost of your items minus depreciation, i.e., the actual "market value" of your stuff. This means your insurance rates will be lower than if you take out Replacement Cost coverage where you will be paid the amount it would cost to replace the damaged or lost items by buying them new.

The insurance company will also take into account whether you have put into place any security measures to help protect your belongings. These safety measures could include fitting deadbolts, or buying a fire extinguisher, or a fire or burglar alarm for your rental property. If you have, you will generally be offered a discount on your renters insurance rates.

Compare Free Renters Insurance Quotes

Renters insurance policies typically only cost between $15 and $30 a month (NAIC.org). Any way you look at this, renters insurance is very affordable when you consider all of the protection it provides. Compare renters insurance quotes today.