Red Cross touts importance of renter's insurance
Here's a press release from Isaac Figueras of the Genesee Regional Red Cross regarding an aspect of disaster preparedness:
September is National Preparedness Month. In recognition of this, the Genesee Regional Red Cross would like to take a moment to talk about the importance of renter’s insurance. As the AmeriCorps VISTA Representative of this chapter, I recently sat down with New York State Assemblyman and insurance salesman Steve Hawley and spoke with him about this topic.
We talked of the importance of renter’s insurance, its effectiveness and costs.
The Red Cross believes this is important because, as Hawley says about renter’s insurance, “Aside from life insurance, it is the one type of insurance that people do not think about. Because they do not own the building, some people assume that the owner of the building is responsible for any losses that the renter incurs or that they cannot be sued.”
This assumption is wrong. Let’s start with a few basic points about this kind of insurance.
You may be thinking, what exactly does renter’s insurance cover? The policy generally covers damages from fire, lightning, wind, bursting pipes, vandalism and much more. In fact, this policy can even cover the damage from someone else crashing into your house!
Also, the insurance is not expensive. An average premium of $100,000 costs roughly $80 a year. Further, there is a $300,000 liability if someone sues you. Some companies only require a down payment to start it.
Hawley also noted that, with many insurance companies, if you already have a different kind of insurance policy such as car insurance, adding a renter’s insurance policy can give you a discount. In such a case, your renter’s insurance would be even lower than the average $80 yearly premium.
Calling attention to this kind of policy is especially important. In this region, major threats include fire, wind and storms. As noted above, damages caused by these events to a rented building are often covered under a renter’s insurance policy.
“I think that with the changing weather patterns that we’ve observed here in Western New York and the East, that it is even more important, whether you’re a renter or a home-owner, to be sure that you are adequately covered,” Hawley said.
Regardless of your location or circumstances, you and your home can both be affected by bad weather. An awareness of the possible emergencies that can occur in your area is, as always, important. If you rent property, purchasing such insurance is a first step toward being prepared for emergencies.
Finally, considering the average price of this insurance and its coverage, such a purchase is cost effective as well. Remember, preparedness may not seem important now but, in the event of a disaster, each preparation you have made will help!
