After shifting into your apartment, you may ask yourself whether you take the renters insurance or not, although the question should be that can you manage not taking it? There are your belongings worth saving, therefore after deciding to take the insurance you should know how much is renters insurance for an apartment.
Renters Insurance for an Apartment
If you are searching for the cost of renters insurance, then do not confuse it with how much is home insurance? Because both of them are different. Home insurance do not cover your personal properties and for that you have to have the renters or tenants insurance.
In United States of America
In all the 50 states of USA, the cost for renters insurance varies widely. The cheapest and the most expensive states of the US with respect to the risk of being damaged are:
| Sr. No. | Names of the States | Average Cost per Month |
|---|---|---|
| THE CHEAPEST STATES | ||
| 1 | North Dakota | $10 |
| 2 | South Dakota | $10 |
| 3 | Minnesta | $12 |
| 4 | Nebraska | $12 |
| 5 | Iowa | $12 |
| THE MOST EXPENSIVE STATES | ||
| 6 | Mississippi | $22 |
| 7 | Oklahoma | $20 |
| 8 | Louisiana | $20 |
| 9 | Texas | $19 |
| 10 | Georgia | $18 |
But if the annual cost is estimated on the basis of $30,000 worth policy, and the best apartment insurance provider and of course the affordable one, then the data collected for the three major US countries is as follows:
| Sr. No. | Insurance Company | New York | Chicago | Los Angeles |
|---|---|---|---|---|
| 1 | Lemonade | $116 | $114 | $125 |
| 2 | Traveler | $125 | $212 | $218 |
| 3 | Allstate | $167 | $245 | $197 |
| 4 | State Farm | $125 | $229 | $304 |
| 5 | GEICO | $204 | $264 | $256 |
| 6 | Progressive | $270 | $454 | $215 |
In United Kingdom
According to the recent data, the average cost of insurance for a tenant is 59 Euro per month but it largely varies over the countries of UK. The prices in some of the places are:
| Sr. No. | Names of the Cities | Monthly Premium |
|---|---|---|
| 1 | Northern Ireland | £59 |
| 2 | Scotland | £55 |
| 3 | London | £80 |
| 4 | West Midlands | £56 |
| 5 | Wales | £56 |
| 6 | Yorkshire & the Humber | £58 |
| 7 | East Midlands | £57 |
| 8 | North West England | £59 |
| 9 | South West England | £56 |
| 10 | Crown dependencies | £68 |
In Australia
Australia is a very vast continent with different expensive and cheap insurance companies in it offering range of costs. Let’s say that two quotes are being considered one of $20,000 and other of $50,000, the average cost per month taken from different companies would be;
| Sr. No. | Insurance Company | Average Monthly Cost for $20,000 | Average Monthly Cost for $50,000 |
|---|---|---|---|
| 1 | Budget Direct | $38 | $40 |
| 2 | Virgin Money | $39 | $41 |
| 3 | Youi | $25 | $25 |
| 4 | ANZ | $50 | $59 |
| 5 | Westpac | $29 | $33 |
| 6 | St. George | $29 | $34 |
| 7 | Coles Contents | $27 | $34 |
| 8 | AAMI | $42 | $53 |
| 9 | GIO | $44 | $53 |
| 10 | ING | $39 | $41 |
| Whereas as far as best renters insurance companies are concerned, the annual premium was recorded as; | |||
| Sr. No. | States of Australia | Annual Premium | |
| — | — | — | |
| 1 | North South Wales | $431 | |
| 2 | North Queensland | $798 | |
| 3 | Queensland | $397 | |
| 4 | Victoria | $377 | |
| 5 | South Australia | $336 | |
| 6 | Tasmania | $313 | |
| 7 | Western Australia | $392 |
Summary: Rental insurance is available anywhere in this world with affordable prices. But before choosing a country to rent in, do survey all the companies there.
Factors Affecting Renters Insurance
Everything has a wide range of costs giving the customers variable options to choose from according to their own affordability. Similarly there are many factors that can help you to reduce the cost of your renters insurance:
1. Amount of coverage
The question is what does renters insurance cover? It covers all your personal belongings also the liabilty and additional loss coverage too. But the more you items want to get insured more will be the amount of coverage and hence the premium too. Therefore if you have any expensive jewelry or any other valuable item than you better lookout for the money.
2. Location of your residency
If you have already rented an apartment then the amount of insurance would not be in your control because if the apartment is in some doubtful neighborhood or your area is more prone to natural disasters then you will have higher premiums. Switching the apartment would be the only option.
3. Deductible
Amount of deductible affects directly on the premium cost because if you choose to pay higher deductible then your premium cost would be low or vice versa. The deductible is the amount you pay before your coverage starts to work in.
4. Security features
This is very important to have security systems in your apartment, it can be a fire alarm, cameras, deadbolt lock, or any other things that can increase your security. This can help you to minimize the risk of being theft, or from fire too. The insurance will take it as a good point and will decrease the cost of your annual premium.
5. Bundle Policies
The last factor of bundling also plays a significant role in reducing the cost. It means that if you bundle up your renters insurance policy with cheap auto insurance then you can get a good discount on both of your policies.
Summary: Among these some factors can greatly reduce your premium cost like having security measures, bundle with other policies, etc whereas some can enhance your cost. Your location, for instance, can increase the annual premium easily.
How Much is Renters Insurance?
The answer to this typical question that how much is renters insurance? is quite complicated as it includes numbers of things in it. Upon consideration of every factor the renters insurance per month would be analyzed as $15 to $35 per month.
Renters insurance, to be very precise, is the method or process of showing respect to the property from both parties i.e. the landlord and the tenant. It also helps to maintain your rent too.
How Much is Renters Insurance in Florida?
Just like other expensive states of US, Florida is also included in top 10 of them. It may cost a tenant 16 dollars a month or you can say 192 dollars per year, which is much more in reference to the fact that renters insurance is considered cheaper. Therefore if you are thinking to live in a rented apartment there, then you should also anticipate that how much is the renters insurance in Florida?
How Much is Renters Insurance in Texas?
Oh Texas, another expensive state to live in because these states are more risky to the natural disasters like hurricanes, etc. You might wonder how much is the renters insurance in Texas?The answer is that insuring your rented apartment in Texas may cost you $228 a year which is more than Florida too. Therefore, think again!
Frequently Asked Questions
What is a good price for renters insurance?
According to the survey and data collection of Insurance.com, considering one set of coverage including $40,000 for personal property, a $1,000 deductible and $100,000 of liability protection, the good price for this insurance would be $27 a month or $326 a year.
Do you have to get renters insurance for an apartment?
Renters insurance is not regarded by the law everywhere but this insurance is usually required by your landlord prior to the lease agreement. It is a legal insurance meant for your own safety.
Why do apartments require renters insurance?
Just like any other residency, an apartment also requires insurance. The apartment owner wants his tenants to have this policy to reduce the risk of damage, not only this the renters insurance also profits the renter by protecting their belongings.
How long does it take to get approved for renters insurance?
Unlike other insurance products, this is quite easy and very quickly to get. The time period depends upon the agency you are taking it from. Maximum time limit is 30 minutes whereas it would take minimum 5 minutes in some companies to give the insurance.
Conclusion
Therefore, ‘how much is renters insurance for an apartment’ should be the question which comes to your mind when you are about to rent an apartment. This should be done prior because after you have chosen the apartment there would be cost variation even because of the apartment’s location. Hence there is a wise saying;
"Think before you act."