Why some apartments require renters insurance can vary.
First, lets cover what renters insurance covers. It covers your personal property, your liability and medical expenses.
Second, your liability and medical coverage are the parts that are most important to the apartment. This is because your liability insurance can be used to cover damage done to the building due to your negligence. For example, lets say you leave the stove on and you leave your apartment. Lets further say it starts a fire and causes damage to the building. The apartment's insurance will pay for the damages, but then it will subrogate against your insurance (meaning it will make a claim against your renters coverage).
Therefore, many apartment complexes' insurance companies will require that all the tenants have a renters policy so it can recoup any of its losses caused by the apartment complex's tenants.
.JPG){kind=avatar}
First, lets cover what renters insurance covers. It covers your personal property, your liability and medical expenses.
Second, your liability and medical coverage are the parts that are most important to the apartment. This is because your liability insurance can be used to cover damage done to the building due to your negligence. For example, lets say you leave the stove on and you leave your apartment. Lets further say it starts a fire and causes damage to the building. The apartment's insurance will pay for the damages, but then it will subrogate against your insurance (meaning it will make a claim against your renters coverage).
Therefore, many apartment complexes' insurance companies will require that all the tenants have a renters policy so it can recoup any of its losses caused by the apartment complex's tenants.