Should College Students Have Renters Insurance?

Being a college student is like being in a privileged state in a person’s life. It’s a pseudo reality where you finally have your freedom, but still fall well within your parents’ protection, financial allowance, and insurance. You’re old enough to do what you want and get the part-time job you need, but being in college seems to harbor you in a zone where you’re not allowed to fail because you’re “still learning” and definitely “going somewhere in life.” Needless to say, being in college is like testing life out in a lab.

Making the transition from young adult to adult is one that involves shifting your financial responsibilities away from your parents to your own.

When a college student is renting an apartment, do they still qualify under their parent’s homeowners insurance? Normally your parents’ standard homeowners insurance policy won’t cover college students if they’re over 26, or renting off-campus housing. College students find it hard to determine whether or not their position in life warrants renters insurance, after all, they don’t own anything particularly expensive. However, when you start thinking about $3,000 Powerbooks, and other electronic devices, the $200 you would spend a year on renter’s insurance makes renters insurance a worthwhile living expense.

Why renters need insurance

Most landlords only have insurance that covers damage to the actual building or complex, this leaves all of the renters’ belongings inside the residence unprotected. Having renters insurance protects you from having to replace damaged or stolen items, and it covers situations you may be liable for with your own money.

What does renters insurance cover?

There are multiple things that renters insurance will cover, including:

Personal Property

Most standard renters insurance policies offer protection for your personal belongings in case of water damage, fire, burglary, and other events that are out of your control. Keep in mind most rental insurance policies do not cover damages caused by floods, earthquakes, mudslides, or nuclear hazards. If you do live near a fault line, river or body of water and have any concerns about flooding, mudslides or earthquakes, talk with an insurance agent to add one of these policies onto your coverage.

Also, certain types of property will only be covered for a specific value determined by the insurance company. If you have any items of significant important (like Jill’s vintage jewelry collection) or an engagement ring or golf clubs, consider purchasing additional coverage known as a “personal articles” policy.

Loss of Use

Renters insurance covers any living expenses in the event you are required to leave your rental unit because of an accident. For example, if a tree from next door crashes into your roof any expenses you incur from being displaced from your home—hotel room, food, etc— will be covered by loss of use.

Liability

Liability coverage pays for bodily injury and property damage caused by negligence. For example, if your dog gets loose and bites your neighbor, liability coverage will pay for her stitches.

How much renters insurance coverage do I need?

While the required rental insurance coverage may differ depending on the rental property and the landlord, many landlords require their tenants to have a minimum of 100K in liability coverage. If your landlord doesn’t require insurance, talk to an insurance agent (844-272-0525) to determine how much coverage you need. Getting renters insurance as a college student may be one of your first rights of passage towards full adulthood . . . and hopefully your parents aren’t the ones paying for it.

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