Author Topic: Renter's Insurance--a necessity?  (Read 6402 times)

WootWoot

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Renter's Insurance--a necessity?
« on: October 18, 2016, 03:49:37 PM »
I hope this doesn't cause dozens of Mustachians to scream "Of course, you fool!"

We've been renting for nearly 30 years (have never owned a home) and have never had renter's insurance. I've considered it at times, and for one reason or the other (none of which I can recall right now) have put it out of my mind. Today I was reading a post on The Simple Dollar that mentioned it, and thought, "You know, that might be a great idea." Allstate has a fun-to-use calculator so I went through the process, and it looks like it might be $30 a month to insure our stuff and protect us from lawsuits. (I digress a bit here, but I never heard that you could be sued if someone visiting you is injured if you're a renter. I figured that's your landlord's problem. Anyone with a knowledge of law that can comment on this, please feel free to jump in).

I'm very reluctant to take on another monthly expense. Right now I'm tracking things using Mint, and I am already becoming uncomfortably aware that I am never prepared for basic expenses like clothing, household stuff (Home Depot-type stuff) that isn't covered by our landlord, etc. It's a real eye-opener, let me tell you.

But of course, there's the idea of losing everything and having to replace all our stuff, something there is no way we could afford to do.

Please share your thoughts on the above. Thanks for listening!

ender

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Re: Renter's Insurance--a necessity?
« Reply #1 on: October 18, 2016, 03:52:53 PM »
$30/month? Where do you live that it's that high?

Price out renters insurance just for possessions.

Then, see if an umbrella policy makes sense.

Orvell

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Re: Renter's Insurance--a necessity?
« Reply #2 on: October 18, 2016, 03:55:06 PM »
I bought renters insurance for the first time this week, and it was roughly $9/mo.
Probably will never use it, but it's a peace of mind thing for me. :) I'd shop around. $30/mo seems high.

nereo

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Re: Renter's Insurance--a necessity?
« Reply #3 on: October 18, 2016, 04:02:02 PM »
...
But of course, there's the idea of losing everything and having to replace all our stuff, something there is no way we could afford to do.


To me, this is a good reason to have (some) insurance.  I've also rented places where the homeowner's insurance required I have a renter's policy for liability.  I won't pretend to be a lawyer, but as I understand it you can be liable if you or your possessions causes an injury or damages that your landlord couldn't have provided.  Imagine you bought an old space-heater that was clearly unsafe and it burned down the house - why should your landlord (or his/her insurance) have to pay for the damages you caused?

A philisophical question worth asking is "do I really need so many things that might need replacing?"

Shop around - in my last rental I was able to get renters insurance for ~$18/mo, and  it covered $25k worth of possessions and I many hundreds of thousands for medical and property damage.  This was in California where the property values were sky-high.

WootWoot

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Re: Renter's Insurance--a necessity?
« Reply #4 on: October 18, 2016, 04:05:25 PM »
Northeastern Pennsylvania, two hours north of Philly.

This was on the Allstate site. They had various categories, such as clothing, kitchen equipment, office/living equipment, bedroom, bathroom.

I'm not sure what you mean by "just for possessions." The calculator came up with a price of approx. $58K for replacing stuff.

I would probably go with Geico b/c that is where we have our car insurance.

$30/month? Where do you live that it's that high?

Price out renters insurance just for possessions.

Then, see if an umbrella policy makes sense.

WootWoot

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Re: Renter's Insurance--a necessity?
« Reply #5 on: October 18, 2016, 04:05:59 PM »
Do you mind if I ask which company that is with?

I bought renters insurance for the first time this week, and it was roughly $9/mo.
Probably will never use it, but it's a peace of mind thing for me. :) I'd shop around. $30/mo seems high.

WootWoot

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Re: Renter's Insurance--a necessity?
« Reply #6 on: October 18, 2016, 04:09:21 PM »
It's becoming clear that perhaps the "fun" Allstate estimator has overestimated! LOL

I don't know that we have a lot of stuff. Most everything we've ever bought is used, except for our TV, fridge and washer. I got my couch for $200 at a tent sale because it had gotten wet. I do have a lot of books and CDs (well over 100...I'm an English major and he's an audiophile).

Maybe I'm not understanding what the insurance is supposed to cover. I didn't think $58K was an outrageous sum to start the household over from scratch.

...
But of course, there's the idea of losing everything and having to replace all our stuff, something there is no way we could afford to do.


To me, this is a good reason to have (some) insurance.  I've also rented places where the homeowner's insurance required I have a renter's policy for liability.  I won't pretend to be a lawyer, but as I understand it you can be liable if you or your possessions causes an injury or damages that your landlord couldn't have provided.  Imagine you bought an old space-heater that was clearly unsafe and it burned down the house - why should your landlord (or his/her insurance) have to pay for the damages you caused?

A philisophical question worth asking is "do I really need so many things that might need replacing?"

Shop around - in my last rental I was able to get renters insurance for ~$18/mo, and  it covered $25k worth of possessions and I many hundreds of thousands for medical and property damage.  This was in California where the property values were sky-high.

Goldielocks

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Re: Renter's Insurance--a necessity?
« Reply #7 on: October 18, 2016, 04:21:51 PM »
I had renters insurance whenever I rented.  Why?

It covered things like damage to the rental suite -- e.g., if I had (another, ahem) pork rib fire in the over that got out of control next time, lit candle catch curtains, or for those with waterbeds / fish tanks,... kid flushes world's largest rubber toy down toilet, my barbeque catches fire, etc.

It also covered against theft.

When we rented a house, it would cover against the postman slipping on the front step (due to a kid toy or misplaced mat, or something my fault), or provide coverage for a maid (example) injured while completing a home service.

It would cover against trampoline accidents (my trampoline), and if I managed to damage neighbors property (through a water leak, freak gardening accident, ball through a window).

Honestely, though, I was never concerned about a friend suing me for an injury while visiting...(maybe if you own a dog?).. nor about replacing possessions other than theft....   

nereo

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Re: Renter's Insurance--a necessity?
« Reply #8 on: October 18, 2016, 04:23:15 PM »
For starters, insurance calculators are (gasp) designed to tell you that you really need to buy lots of insurance.

$58k seems incredibly high for me based on what you describe (a few appliances, a used coch and some books and CDs).  Even in the event of a catastrophic loss (e.g. the house burns down to cinders) what would you spend to get your life back up and going?  Hopefully you could do it for $10-15k.  It might not all be new, but neither is what you own now.

The only reason I could see for holding $58k in insurance would be if you owned lots of high-value items like several paintings worth thousands each.

WootWoot

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Re: Renter's Insurance--a necessity?
« Reply #9 on: October 18, 2016, 04:27:24 PM »
Thank you! I'm beginning to understand.

We do have a waterbed and it has leaked. Fortunately, we caught it before anything got out of hand.

I also do have art, but none of it is of particularly high value. Mostly stuff made by local artisans. No Van Goghs here. [sigh]

Thanks for your help. Much appreciated!

Undecided

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Re: Renter's Insurance--a necessity?
« Reply #10 on: October 18, 2016, 05:15:54 PM »
(I digress a bit here, but I never heard that you could be sued if someone visiting you is injured if you're a renter. I figured that's your landlord's problem. Anyone with a knowledge of law that can comment on this, please feel free to jump in).

While there are certain aspects of the property that are no doubt beyond your control and for which the landlord is responsible, generally speaking you have control over the property and should expect to be responsible if your negligence causes injury to your guest.

Jack

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Re: Renter's Insurance--a necessity?
« Reply #11 on: October 18, 2016, 05:25:25 PM »
When I was renting, I didn't even bother trying to tally up my possessions and went with whatever coverage amount was the default (or maybe what my insurance broker thought was appropriate -- I don't remember). It's the liability coverage that's the more important part.

Orvell

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Re: Renter's Insurance--a necessity?
« Reply #12 on: October 18, 2016, 05:44:22 PM »
Do you mind if I ask which company that is with?

I bought renters insurance for the first time this week, and it was roughly $9/mo.
Probably will never use it, but it's a peace of mind thing for me. :) I'd shop around. $30/mo seems high.
I went with State Farm. :)

neophyte

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Re: Renter's Insurance--a necessity?
« Reply #13 on: October 18, 2016, 06:12:32 PM »
I got liability only because I'm worried abuot my roommate burning down the house.  $89 /year from USAA.

JoJo

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Re: Renter's Insurance--a necessity?
« Reply #14 on: October 18, 2016, 06:23:32 PM »
I met someone in NY recently that didn't have renters insurance.  They were cooking something (pizza?) that caught on fire.  Luckily, they were able to put the fire out fairly quickly.  Unluckily, it was smoky enough to set off the smoke alarm and the sprinkler system.  The water soaked thru their unit + 2 levels below and they ended up paying over $30,000 in damages.

Tris Prior

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Re: Renter's Insurance--a necessity?
« Reply #15 on: October 18, 2016, 06:42:10 PM »
We pay around $24/month for ours. I've found that the rates vary based on where you live; we're in a very high-crime neighohood right now and our rate went up accordingly. I assume because of all the burglaries.

Brokenreign

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Re: Renter's Insurance--a necessity?
« Reply #16 on: October 18, 2016, 06:43:54 PM »
Thank you! I'm beginning to understand.

We do have a waterbed and it has leaked. Fortunately, we caught it before anything got out of hand.

I also do have art, but none of it is of particularly high value. Mostly stuff made by local artisans. No Van Goghs here. [sigh]

Thanks for your help. Much appreciated!

People are starting to get waterbeds again!? I consider this the final and most definitive sign that the 80s are returning. It is a good time to be alive.

I pay about $225 a year for tenants insurance. It covers $1 million in liability and $25k in property loss (theft/damage). Admittedly that is in Canada where people are a tad less litigious. You could get the minimum amount of property covered to lower the cost. Most things of high value (ie high end bikes, jewellery) are only covered up to a limited amount anyway unless you pay for extra insurance. I mostly wanted the liability insurance as I am often tardy in shovelling snow and live in a neighbourhood full of fussy old people.

My few possessions are generally shitty and in poor repair anyway.
« Last Edit: October 18, 2016, 06:45:53 PM by Brokenreign »

TheWee

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Re: Renter's Insurance--a necessity?
« Reply #17 on: October 18, 2016, 06:44:21 PM »
I got some after reading this http://gothamist.com/2015/11/24/home_fire_aftermath_tips.php. Shortly after, my neighbors oven caught on fire, since the gas pressure was too high. Luckily no damage, could have turned out much worse. http://www.nytimes.com/2015/03/27/nyregion/reports-of-explosion-in-east-village.html I know many places are different, and city life is different than where many on this forum choose to live, but still something to consider. I paid all at once for the year. Chose Travelers, $174 for the year.

WootWoot

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Re: Renter's Insurance--a necessity?
« Reply #18 on: October 19, 2016, 11:16:27 AM »
Brokenreign--we've had our waterbed for nearly 20 years. We got it from a friend who decided he didn't like it. It's not the wavey-squishy ones we all remember from back in the day. It's got several tubes that you fill with water from a faucet (we do ours in the tub) and they sit inside a box frame of sorts. Then a cover thing goes on it, and then you just make the bed as per usual. The tubes have leaked a couple of times, but we were able to patch them. With this type of bed, there's no way an ocean would go through the ceiling, should anything "bust."

It's quite comfy!

nereo

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Re: Renter's Insurance--a necessity?
« Reply #19 on: October 19, 2016, 11:36:44 AM »
Brokenreign--we've had our waterbed for nearly 20 years. We got it from a friend who decided he didn't like it. It's not the wavey-squishy ones we all remember from back in the day. It's got several tubes that you fill with water from a faucet (we do ours in the tub) and they sit inside a box frame of sorts. Then a cover thing goes on it, and then you just make the bed as per usual. The tubes have leaked a couple of times, but we were able to patch them. With this type of bed, there's no way an ocean would go through the ceiling, should anything "bust."

It's quite comfy!

I have cats.  Ergo, I wouldn't expect any one of them to bust - I'd expect them all to develop numerous small punctures - most likely in rapid succession.  Oh well...

Laura Ingalls

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Re: Renter's Insurance--a necessity?
« Reply #20 on: October 19, 2016, 11:39:39 AM »
I think renters insurance is exactly what insurance is supposed to be for insuring against low incident and catastrophic events. 

Dh and I argued several times about if we needed or not.  Never once did he argue with me after we had the house we rented burn to the ground.  The loss of use was also helpful. 


WootWoot

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Re: Renter's Insurance--a necessity?
« Reply #21 on: October 19, 2016, 11:42:26 AM »
That is downright spooky, considering that the author Laura Ingalls' house burned to the ground. But you probably knew that.

Gosh, I am sorry, but glad you had coverage.

I think renters insurance is exactly what insurance is supposed to be for insuring against low incident and catastrophic events. 

Dh and I argued several times about if we needed or not.  Never once did he argue with me after we had the house we rented burn to the ground.  The loss of use was also helpful.

Laura Ingalls

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Re: Renter's Insurance--a necessity?
« Reply #22 on: October 19, 2016, 12:16:56 PM »
That is downIright spooky, considering that the author Laura Ingalls' house burned to the ground. But you probably knew that.

Gosh, I am sorry, but glad you had coverage.



I had actually forgotten about the Wilder's fire.  My user name actually predates our fire.  Country life on the prairie has its risks both then and now.

I picked the $ amount of coverage fairly randomly.  On one hand it was too little as it would have taken about 30% more coverage to replace everything.  On the other hand we probably only spent about half the total insurance money we received.  We all have stuff that we would never replace.

Jack

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Re: Renter's Insurance--a necessity?
« Reply #23 on: October 19, 2016, 12:41:37 PM »
Brokenreign--we've had our waterbed for nearly 20 years. We got it from a friend who decided he didn't like it. It's not the wavey-squishy ones we all remember from back in the day. It's got several tubes that you fill with water from a faucet (we do ours in the tub) and they sit inside a box frame of sorts. Then a cover thing goes on it, and then you just make the bed as per usual. The tubes have leaked a couple of times, but we were able to patch them. With this type of bed, there's no way an ocean would go through the ceiling, should anything "bust."

It's quite comfy!

I have cats.  Ergo, I wouldn't expect any one of them to bust - I'd expect them all to develop numerous small punctures - most likely in rapid succession.  Oh well...

My parents had a bed like WootWoot describes. The tubes were covered by a foam pad thick enough to stop cats' claws from doing any damage.

Lis

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Re: Renter's Insurance--a necessity?
« Reply #24 on: October 19, 2016, 02:02:30 PM »
My first two years as a renter, I didn't bother. Considering that was when I had the least amount of money (I was throwing every penny towards my student loan and had a meager $1,000 emergency fund), that could have ended badly if anything if anything actually had happened (a pipe in the bedroom did burst once, but luckily all of my electronics were off the ground and my rugs were able to try without mildew/mold). My landlord in rental #2 required renter's insurance (I don't remember if it was him personally or the co-op building), but bundled with my car insurance, I think it cost me $27 for the year. This was Allstate - I had to list out all my possessions (how many TVs do you have? How many pairs of pants do you have?), then it gave me the 'recommended' coverage, which I dropped lower (if someone robs or destroys my N64, I will be so very sad, but I don't need insurance to replace it).

Brokenreign

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Re: Renter's Insurance--a necessity?
« Reply #25 on: October 19, 2016, 06:25:57 PM »
Brokenreign--we've had our waterbed for nearly 20 years. We got it from a friend who decided he didn't like it. It's not the wavey-squishy ones we all remember from back in the day. It's got several tubes that you fill with water from a faucet (we do ours in the tub) and they sit inside a box frame of sorts. Then a cover thing goes on it, and then you just make the bed as per usual. The tubes have leaked a couple of times, but we were able to patch them. With this type of bed, there's no way an ocean would go through the ceiling, should anything "bust."

It's quite comfy!

This will most certainly be my next bed. I'd imagine the tubes are very compact and portable when not filled.

I reiterate - it is a great time to be alive.

Good luck with your search for tenants insurance. It sounds like you're spoiled for choice down south. Just remembered that mine is with the equivalent of your AMA. It was a good discount over other suppliers.

Vagabond76

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Re: Renter's Insurance--a necessity?
« Reply #26 on: October 19, 2016, 07:36:01 PM »
I had a tenant that failed to obtain renter's insurance.  Due to poor credit we agreed to rent to her but doubled the security deposit.  About a year and a half later, I got a call that the house was flooded.  Although the tenant denied it, we narrowed the cause of the flood to one thing--tenant negligence.

The tenant agreed to leave (she had no choice because it would take time to fix the damage) but we took the whole deposit.  My insurance company paid the claim over the deductible.  If the tenant had renter's insurance, it would have paid the claim, including the forfeited security deposit.
« Last Edit: October 20, 2016, 06:07:38 PM by Vagabond76 »

chemistk

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Re: Renter's Insurance--a necessity?
« Reply #27 on: October 20, 2016, 05:31:14 AM »
I'm late to the party here bit YES! It IS a necessity.

I pay something like $12 a month for renters insurance, bundled with the auto insurance. When my wife and I first started renting, it was only optional. Now, it is mandatory for every place we looked. At our current property, they require us to have at least $150k liability and some coverage for our possessions. Why? Well...

In August, we were away on vacation. At some point, the toilet in our master bathroom started leaking big time. We came home to all of the drywall on the floor, water raining from the ceiling, destroyed electronics and furniture, etc. It was bad. They had to tear out a lot of the studs and subfloor (landlords insurance, since it was determined to not be our fault). We lost 2 floors' worth of stuff. Nothing important or super expensive. In total, our renters policy had paid out nearly $10,000 for replacement of belongings, alternate living arrangements, and other things. We would have to rent for a lifetime to pay back what they have paid out at our current rate. The first thing the property restoration people asked us after they arrived was "Please tell me you have insurance?" 

lizzzi

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Re: Renter's Insurance--a necessity?
« Reply #28 on: October 20, 2016, 06:20:25 AM »
I own a house in one state which is my primary residence. I am signing a lease Nov. 1 for a rental apartment in another state where I travel frequently enough to want a "home away from home." When I spoke with USAA (have all my insurances with them)   yesterday about the situation, they said that my homeowners insurance on the house, my primary residence, will also cover the rental apartment. They said if the rental apartment ever becomes my primary residence, that I will then have to get renter's insurance on it. 

frugaliknowit

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Re: Renter's Insurance--a necessity?
« Reply #29 on: October 20, 2016, 07:20:06 AM »
YES, you NEED renter's insurance; for most folks it's not so much for the contents as it is liability.

Example:  When I was a renter, I accidentally left the kitchen faucet trickling with the drain plugged....yikes!!!
Luckily, there was just some minimal plaster damage to the apartment below and my landlord graciously took
care of it.  When I saw what happened, I called my insurance co to report it in case some kind of claim were made against me (luckily not, but it could have been ugly).

Also, in case of a fire, a temporary dwelling can be a lot to absorb on your own...

Enigma

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Re: Renter's Insurance--a necessity?
« Reply #30 on: October 20, 2016, 07:42:58 AM »
I pay eRentPlan ($10/month) and got a quote from progressive ($12/month).  Basic 20k personal property coverage and 100k in personal liability coverage.  Small $250 deductible and 1k medical payments to others.

Where I live requires it but in the past I didn't carry it.  Not sure I would call it a 'necessity' until you need it and do not have it.  If I had to replace everything 3k in Ikea furniture bought almost 2 years ago, 2k in electronics which are 2-5 yrs old, less than 1k in clothing which are pretty old, and less than 1k in household goods, it wouldn't necessarily be a bad thing.  Worst case scenario someone sues me and I need the 100k in personal liability.

Samuel

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Re: Renter's Insurance--a necessity?
« Reply #31 on: October 20, 2016, 09:10:27 AM »
When I was financially clueless I didn't have it, but I do now. Primarily for annoyance prevention, really. I can afford to self insure my stuff but if one of my knucklehead neighbors in my 40 year old apartment building catches the place on fire I'll be pissed about having to shell out for a hotel room and moving expenses. My city (Seattle) also has a huge theft problem and I'd be extra pissed to eat that loss too, because f*#@ thieves. Luckily all three of my car prowls have cost me less than $30 each (yet another benefit of old Honda's: using a bump key on a tired door lock is easier than busting out a window) so I've not have to actually file any claims.

WootWoot

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Re: Renter's Insurance--a necessity?
« Reply #32 on: October 20, 2016, 01:05:09 PM »
I called Geico, as they are my car insurance company, and they quoted me over $30 a month! When I argued that Travelers charged way less, they said, "Yes, but we give you full replacement cost on your goods, not depreciation cost."

Then they tried the hard sell (why don't we get started; give me your credit card number). A real turnoff from a company I thought I liked.

So what's this about depreciation vs. full replacement?

nereo

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Re: Renter's Insurance--a necessity?
« Reply #33 on: October 20, 2016, 01:12:46 PM »

So what's this about depreciation vs. full replacement?

With depreciation they give you the estimated value of the item at the time of the loss.  So - if you have a 5 year old washer that cost $1000 new and they determine the life expectancy is 10 years, they may give you only $500 for that washer ($1000 x 50%). Often things like used clothes have their own price set by actuaries (e.g. button down shirt = $11, t-shirt $3, pair of shoes $28...)

Full Replacement they give you what it would cost to buy a similar model today.

from my perspective, there's so much in my home that I could write off but wouldn't necessarily replace that I wouldn't want to pay for the full-replacement coverage.

WootWoot

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Re: Renter's Insurance--a necessity?
« Reply #34 on: October 20, 2016, 01:44:26 PM »
Thanks for the explanation!

To be perfectly honest, there are many, many things we could do without and would never replace. A lot of what is in our house is junk (IMHO) belonging to DH. Like a lot of broken amplifiers and tuners. I can't get him to part with anything. Borderline or full-fledged hoarder, I guess.

MayDay

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Re: Renter's Insurance--a necessity?
« Reply #35 on: October 20, 2016, 07:05:19 PM »
We have it really only because it's required for us to carry an umbrella policy.

We have an umbrella basically in case we ever get sued. We have several hundred dollars not in protcted 401k's, so it seems worth it to us.

2 nights ago our rental house got struck by lightning. So far we've lost a generator (this is the landlord's) a house phone, a modem, a router, a laptop power cord, and an electric toothbrush. A few hundred bucks, no big deal. Hopefully we won't find anymore fried electronics. It's not even enough to file a claim. But it's a good reminder that this stuff does happen. That said, our renters insurance is for the minimum they'd give us, as we wouldn't replace everything.

Enigma

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Re: Renter's Insurance--a necessity?
« Reply #36 on: October 21, 2016, 05:25:13 AM »
I called Geico, as they are my car insurance company, and they quoted me over $30 a month!

Geico hasn't been good to me.  I have had them in the past but areas I have lived they were higher than others.  I am sure it is more of a location thing though.  When I was younger I recall my father getting sued because someone tripped on a couple of stairs while leaving our house.  Pretty much they sued and the home owner's policy kicked in for what seemed like thousands in medical bills (I was a kid so it may have just seemed like thousands and was hundreds).

I hope I never ever have to use my renter's insurance, car insurance, life insurance, short/long term disability insurance, medical insurance, dental insurance, umbrella property insurance, or any other insurance I may not have listed.  But the facts of life shows stuff (for use of a better word) happens.

catccc

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Re: Renter's Insurance--a necessity?
« Reply #37 on: October 21, 2016, 10:07:43 AM »
I think it is a must.  Of course, I've never used it before and I've rented all my life (now 37).  But it's so inexpensive! 

I think we pay $135/year, and I expect that replacing everything in our house would cost $10K or so. 

The priciest stuff is probably furniture.  We've never spent much on it, the most expensive thing was our couch that we bought new (and custom made) for $1,300.  Everything else was a hand me down or cheap antique find.  I should go room by room and make sure this is sufficient.  Because if everything all goes at once, we may not get lucky collecting cast-offs all at once like we have over the years...

we should probably get umbrella insurance, too.  We have some nice ikea umbrellas.  (Sorry, I know that was awful, I couldn't help it...)

MrsPete

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Re: Renter's Insurance--a necessity?
« Reply #38 on: October 22, 2016, 07:44:41 AM »
I think y'all are paying a lot for renter's insurance.  My oldest is moving out in a few weeks, and she's just taken out a policy for something like $95/year.  It is a fairly minimal policy.

As for how much you need, keep this in mind:  Yes, you may have acquired a nice household of goods through various used sources, and it may not've cost must ... but consider the worst case possibility -- fire, flood, whatever, and you lose essentially everything.  You need clothes to wear to work NOW, kitchen items NOW, a new sofa NOW.  You don't have the luxury of searching out nice used things, which takes time.

Rural

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Re: Renter's Insurance--a necessity?
« Reply #39 on: October 22, 2016, 05:38:29 PM »
I think y'all are paying a lot for renter's insurance.  My oldest is moving out in a few weeks, and she's just taken out a policy for something like $95/year.  It is a fairly minimal policy.

As for how much you need, keep this in mind:  Yes, you may have acquired a nice household of goods through various used sources, and it may not've cost must ... but consider the worst case possibility -- fire, flood, whatever, and you lose essentially everything.  You need clothes to wear to work NOW, kitchen items NOW, a new sofa NOW.  You don't have the luxury of searching out nice used things, which takes time.


I lived nearly a decade without a sofa. Not a necessity. But a stove or a microwave, and, before more than a few weeks, a refrigerator, those are. Also an airbed or a mattress and bedding, clothes to wear to work, and at least some kitchen restock. In a total loss scenario, suddenly you're buying every ingredient, and that will cost for a while (imagine having not even salt).


Utensils, dishes, clothes, bedding, can be gotten secondhand in a hurry. Faster than new, probably, because most thrift stores Sell all of those things and you can get it all in one place. Appliances (and mattresses) are more challenging and will likely have to be bought new.

MrsPete

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Re: Renter's Insurance--a necessity?
« Reply #40 on: October 22, 2016, 05:53:08 PM »
I lived nearly a decade without a sofa. Not a necessity. But a stove or a microwave, and, before more than a few weeks, a refrigerator, those are. Also an airbed or a mattress and bedding, clothes to wear to work, and at least some kitchen restock. In a total loss scenario, suddenly you're buying every ingredient, and that will cost for a while (imagine having not even salt).


Utensils, dishes, clothes, bedding, can be gotten secondhand in a hurry. Faster than new, probably, because most thrift stores Sell all of those things and you can get it all in one place. Appliances (and mattresses) are more challenging and will likely have to be bought new.
Okay, don't get hung up on the sofa and focus on the bigger point:  If you suddenly need EVERYTHING, you don't have the luxury of searching and waiting for used items or sales. 

After a friend had a housefire, it really hit home with me.  He lost everything except a tee shirt and a pair of PJ bottoms.  Not even shoes.  His two biggest emergency needs:  Eyeglasses and replacement medicines.  His brother picked him up at the hospital and brought him some clothes, but the brother who'd lost everything is a good 6-8" taller and proportionally heavier, so he needed to find clothing of his own immediately.  He couldn't get money from the bank because he had no identification.  His car wasn't harmed, but he had to call a locksmith to make a new set of keys. 

The really bad thing was that he's a paycheck to paycheck kind of guy, so replacing these things was a nightmare for him.


Laura Ingalls

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Re: Renter's Insurance--a necessity?
« Reply #41 on: October 22, 2016, 07:18:10 PM »
Mrs Pete you are so right. We all have more money tied up in consumables than you realize.  Pantry items, toiletries, liquor, cleaning stuff, TP,  office and craft supplies.  We had ammo and gun cleaning stuff.  I lost lots of freezer bags, canning jars and the huge roll of freezer paper.  Most of that stuff isn't expensive on a day to day basis, but if you have none of it adds up quickly.

WootWoot

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Re: Renter's Insurance--a necessity?
« Reply #42 on: October 24, 2016, 01:30:09 PM »
Just wanted to update on this: I purchased a plan for $11 a month from Travelers. Very happy with the whole experience!

(Whew, one more thing off my mind).