Renters insurance is often misunderstood.  Many people don't think they need it because, as renters, they don't own the building they live in or the appliances. Some even think their belongings are covered by their landlord's property insurance policy. To clear matters up, Allstate Insurance Companies in High Point, NC, explains below what you should know about a renters policy. What You Should Know About Renters Insurance

You Probably Aren't Covered by Your Landlord's Homeowners Policy

Most homeowners insurance policies cover the structure of the building and the contents. However, when insuring a rental property, most owners opt for landlord coverage, which only protects personal property such as lawn equipment, painting supplies, tools, and other items used in operating the rental business. Thus, your belongings are almost certainly not covered.

Renters Insurance Protects More than Just Your Personal Property

To protect your belongings, you need renters insurance. It pays to replace any items damaged or destroyed if your home should it catch fire or be damaged in a storm. In addition, it also protects you if you accidentally injure someone or damage their property by covering repairs and medical treatment, when necessary. It also pays for any legal fees arising from the incident, including legal judgments or settlement amounts. Lastly, it takes care of additional living expenses you encounter if your home becomes uninhabitable due to some covered disaster, such as fire or storm. However, most renters insurance policies do not cover floods or earthquakes, though you can buy that coverage for an additional amount.

Renters insurance is important even if you don't have a lot of valuables to protect. To discuss your options, contact Allstate Insurance Companies in High Point, NC. They've been helping businesses and individuals throughout the Piedmont region choose the right property, auto, commercial, and life insurance coverage for more than 20 years. You can find a map and office hours on their Facebook page or call (336) 884-5636 to request an insurance quote.