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Renter’s Insurance: We go one better…

So after working through medical insurance stuff, we’ve also acquired renter’s insurance. Now all our bases are covered. (Yes, we already have car insurance, since we’re not totally impoverished, or insane, or criminals.)

Do we need renter’s insurance? I think so. Mostly because paying $109.29 annually is a lot cheaper than replacing all our necessary items if the building burns down. We don’t need everything we have, but I’d sure like to be able to replace the bed, laptops, and a portion of my wardrobe. It might be a plus to have desks, our table/chair set, dressers, a sewing machine, and some of Micah’s philosophy-related books.

And while the couches, entertainment center, tv, bookcases, and table/chair set were free, I don’t know if we’d have generous friends at the right place and the right time again.

How did I get the $109 deal? I called the agent (All State, in case you’re interested, not paid by them but they were the best quote I got online). We were quite happy with the $150 quote I came up with online (also cheaper than replacing all our stuff). Apparently, though, they could offer lower for the same coverage in person. I’m so glad the transaction didn’t go through online and I had to call!!!

We also classified our stuff as “economy.” If you have higher-priced furniture, it’ll cost you more. But then, you’ll need more than $25,000 to replace it.

I hope I won’t ever have to replace my beloved teddy bears, my pillow, my sweaters. But now we can.

Here’s some thoughts on renter’s insurance from around the blogosphere:

Kacie at Sense to Save is actually the one who got me thinking about it. Once again, she had a near miss with needing to use her renter’s insurance. I was feeling relief over my health insurance choices when I stumbled across her post and it got me thinking. And here’s the last time she was happy about about being insured (theirs cost about the same).

Renter’s insurance tip: Your personal coverage–something like $100,000 covers lawsuits for when you break a pipe and flood the apartment below. Or break your neighbor’s Ming vase.

Mapgirl tells the stories of two people she knew who did and didn’t have insurance. Both suffered fire losses through no fault of their own. Guess who made out better?

So now I’ll join the voices encouraging you to get renter’s insurance. It may not be the end of the world if you don’t, but do you want to start over from scratch? And more importantly–you may be very responsible, but other circumstances may make it necessary (neighboring apartments, complete accidents, wildfires, etc…).

If nothing else, call for a quote–it’s free and you can find out if renter’s insurance is affordable for you. It probably will be.

So now we have medical insurance, renter’s insurance, car insurance (not new), and I changed my driver’s license a week ago. I’m now officially Firstname MaidenName MicahsName and I officially live here! That’s a lot of accomplishments.

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Rent vs Mortgage: Calculating Tangible and Intangible Costs | Frugal Dad
August 18, 2009 at 6:00 am


Amanda (Me vs Debt) December 13, 2007 at 10:22 pm

Wow, I had no idea it was that cheap… now that I do know I have absolutely no excuse not to get it. Thanks for the post!

Kacie December 13, 2007 at 10:23 pm

Awesome! I went through All State as well. I may never need to file a claim, but the peace of mind is so worth it.

Plus, when we become homeowners, we might be able to get a discounted policy (I think).

frugal zeitgeist December 13, 2007 at 11:16 pm

I would suggest taking pictures of the things you would want replaced in a disaster and putting them somewhere safe. Also, when my neighbor upstairs left a tap on for eight hours and completely destroyed my ceiling and walls, his insurance company (Allstate) tried to browbeat me into making a claim on my insurance instead of having my neighbor’s insurance pay for it. He didn’t back off until I pointed out that I’m also an Allstate customer and they would be paying in any case.

My neighbor’s policy did pay in the end, but be careful of dirty tricks like that. Insurance companies will often go to great lengths not to honor a claim, so if you ever need to make one, be prepared to fight.

mapgirl December 13, 2007 at 11:19 pm

Amanda – *smacks forehead* Yes. That’s why it’s shocking that most ppl don’t have renters insurance. It’s less than one month’s rent!!!

YAY Mrs. Micah! That’s a lot done with one phone cal!

E.C. December 14, 2007 at 10:09 am

Have you changed your name with Social Security as well? When my mom did that, she messed up the paperwork, so now she’s First Middle Last to Social Security and First Maiden Last on most other documents in her life, including her driver’s license. It hasn’t caused any problems in the quarter century she’s been living with that situation, but she still worries that someday it will.

mrsmicah December 14, 2007 at 10:15 am

Yeah, E. C., I got that one too, and they got my name right. It was funny, because I went there first, but there’s really not much you want to bring the SS card out for…so I couldn’t really prove my new name.

SavingDiva December 14, 2007 at 11:31 am

I have had renters insurance for about a year and a half. I pay about $8.50/month…I spend about that much on a burrito at Chipotle…my peace of mind is definitely worth a burrito every month.

Becky December 14, 2007 at 12:59 pm

I’m so glad you got renter’s insurance! I would agree with frugal zeitgeist about taking pictures. Speaking of which, I haven’t done that since I moved! I’ll update them and keep them on Flickr so I can get to them if our house burned down.
I used to work in insurance, so a couple of thoughts. Make sure you have replacement coverage on your possessions. Hmmm, sounds like a topic I should do a post about 🙂
Also, I highly recommend increasing your liablity coverage to $500,000. It will probably only cost you another $10 or so PER YEAR and in today’s sue-happy world, it’s a really, really good idea. Might even be another post idea for me!

Laura December 14, 2007 at 2:09 pm

I need to get some for us! We could use the protection.

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