I'm glad you asked this question. I wish more people would before they listen to someone tell them that the lowest price is the best. Nothing could be further from the truth. For a very reasonable and affordable premium, you can get renter's insurance that works right for you.
First, pick the right limit for your personal property(your stuff). there are some great tools to help you estimate this and the number's bigger than you think. One of the best is on Allstate's website(no, I'm not an Allstate agent, I just like their tool).
Next, pick the right settlement option.
Actual Cash Value(ACV): The insurance company will depreciate everything you lost and write you a check for that amount up to the policy limit.
Replacement Cost: The insurance company will pay to replace the stuff you lost with new, up to the policy limit.
I usually sell replacement cost because most people would rather have new stuff. Keep in mind, if you choose replacement cost, your limit should be higher than if you choose ACV.
Make sure you have broad form or special form coverage on your personal property. This will ensure you have coverage for theft.
Lastly, pick the right liability limit. If an agent tries to sell you a liability limit of $100,000, run away and find a new agent. If you get sued, it will likely be for a lot more than $100,000. Here's the worst part, the premium difference between a limit of $100,000 and $500,000 could be as low as $9 per year(that's what it is with my company).
The most important thing you should know is that a good agent will take the time to find out about you and the things you own. Then, he/she will put together the right coverage to protect you. If it costs a little more, pay it. An extra $50 premium might save you thousands at claim time.
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First, pick the right limit for your personal property(your stuff). there are some great tools to help you estimate this and the number's bigger than you think. One of the best is on Allstate's website(no, I'm not an Allstate agent, I just like their tool).
Next, pick the right settlement option.
Actual Cash Value(ACV): The insurance company will depreciate everything you lost and write you a check for that amount up to the policy limit.
Replacement Cost: The insurance company will pay to replace the stuff you lost with new, up to the policy limit.
I usually sell replacement cost because most people would rather have new stuff. Keep in mind, if you choose replacement cost, your limit should be higher than if you choose ACV.
Make sure you have broad form or special form coverage on your personal property. This will ensure you have coverage for theft.
Lastly, pick the right liability limit. If an agent tries to sell you a liability limit of $100,000, run away and find a new agent. If you get sued, it will likely be for a lot more than $100,000. Here's the worst part, the premium difference between a limit of $100,000 and $500,000 could be as low as $9 per year(that's what it is with my company).
The most important thing you should know is that a good agent will take the time to find out about you and the things you own. Then, he/she will put together the right coverage to protect you. If it costs a little more, pay it. An extra $50 premium might save you thousands at claim time.