Have you ever experienced something being snatched or stolen from you? Might it be your phone, wallet, laptop, or even a piece of gold or diamond? At some point, nearly all of us go through this unfortunate situation.
Most likely, your important stuff might be stolen from your house or car. Approx 27% of the theft happens from cars, and about 10% is from buildings and apartments. However, stolen bikes make up about 3% of thefts, while pocket-picking and purse snatching compromise 0.6% and 0.4%, respectively.
But the question is, how can you save your belongings from theft? Fortunately, the renters theft insurance company covers the theft of your personal belongings inside and outside your house. This blog post will provide a guide containing all information about renter insurance and theft.
Everything you need to know about renter insurance and theft
First, you must be well aware of what renter insurance is. So, let’s get started with the basic ones.
What is Renter Insurance?
Most of us do not know this, but when renting a home, renter insurance may help protect you and your staff. It covers the problems like theft and damage to your personal belongings like fire and injuries to guests or visitors.
Generally, there are three main coverage types that renters insurance have to be covered. These may include:
- Personal Property Coverage: this type of coverage pays for you when your belongings are stolen and damaged from fire, explosions, tornadoes, and others.
- Liability Coverage: it pays for the medical expenses when a guest is hurt in your home. You are legally responsible for it, like a slip or a fall accident. Liability coverage also covers the property damage caused by you to others, like a dog bite to a neighbor.
- Additional Living Expenses: it is also called “loss of use”. This coverage pays extra expenses such as hotel bills and restaurant meals when you are not at home due to problems covered by the policy, like an explosion.
What does Renters Insurance Cover Theft?
Whenever you buy a renters insurance policy, you may have an option to select the policy limit for your property coverage. This limit will be the maximum amount the insurer will pay when your stuff is stolen. For instance, if you buy $40,000 worth of coverage, your insurer will pay up to that amount.
Moreover, this insurance policy will cover the theft of your property inside and outside your house. If someone steals your belongings from your car or a hotel room, renters insurance may have your back.
Renters’ insurance will also have a deductible, the amount deducted from an insurance claim check. For instance, if someone steals your wallet worth $1000 and you have a deductible of $500, you may get an insurance check for $500.
However, you will need a police report to make a theft claim for your renters insurance claims for damage. You may also need a list of stolen items and their estimated value. But it sounds good if you have the original items’ receipts.
What is the difference between Actual Cash Value and Replacement Cost Coverage?
When you buy a renters insurance policy, you must choose between actual cash value and replacement cost coverage. Mostly replacement cost is recommended because it is the better coverage and will cost you more. It is because ACV considers depreciation while replacement costs will pay to replace the stolen item with new, similar items.
What are the specific limits for theft coverage?
The renter’s insurance policy may have specific limits for the theft of different items such as electronics, jewelry, and gadgets. Your insurer will only pay up to the sub-limit amount if such an item is stolen.
For instance, your policy may have a special limit of $1000 on stolen jewelry. Then it will not cover the loss if a thief stole your ring of $30,000. However, you have to buy additional coverage for high-value items such as cameras, bikes, jewelry, and musical instruments.
What if you get a theft from outside your home?
One of the amazing things about renters insurance is that you are also covered for the theft outside of your house. It means you are fully secured if someone pickpockets your cell phone on the subway or your system gets stolen from a local coffee shop.
Now you might be thinking that what is the radius of that coverage? Surprisingly, your belongings are even covered from theft when you are abroad. For instance, you are on a business trip and come back to your hotel with an iPad nowhere to be found. Or maybe your cell phone was swiped while dancing at a club; your renter’s insurance could have you covered.
What are some of the tips that can prevent you from theft while inside and outside the home?
Here are some of the tips that increase your theft prevention at home:
- Install a proper security system
- Install lock for the pet doors
- Install a doorbell camera
- Never leave spare keys outside the house like in a potted plant
- Continuously change the code of your home entry device.
Here are tips when you are outside the house:
- Do not leave your belongings in plain view in your vehicle
- Never leave your car unlocked
- Avoid traveling alone in unlit or deserted areas
- Use handbags that have a zipper or locking flap
- Carry your wallet inside your coat pocket or front pants pocket.
For the best theft insurance company for renters, you can contact My Property Protect to get the best services in California.