Many people agree that insurance is vital for everyone. From life to medical insurance, there is need to be covered to protect a person and their loved ones from losses that may occur in the case of emergencies. What may people tend to ignore, however, is tenant insurance. To many, getting a tenant insurance is equated to misuse of money since they believe that accidents that may occur while they are in a rented house are covered the landlord’s insurance. This is a misconception since damages caused on the personal belongings of a tenant are not covered by the landlord’s insurance. As such, tenants are required to get their own insurance to protect them from these losses.
Even though tenant insurance is not a requirement by law it is essential to have one to protect a tenant from any eventualities. The following is the importance of tenant insurance.
1.Covers for liability.
It is possible for a tenant to cause damage to other people’s property as well as causing unintentional injury to their neighbors. It could be the tenant’s dog biting a visitor or even causing an accidental fire that spreads to the neighbor’s property. These situations happen when people don’t expect, and are therefore called liabilities. Paying for these liabilities is always expensive. From repaying the damaged property to paying for hospital bills this can be so stressing. Holding a tenant insurance is important since it will cover for these losses hence giving a tenant peace of mind.
2.Temporary living expenses.
A tenant insurance cover is important when it comes to covering the additional costs that may arise in case a tenant has to move out of their home temporarily because of insured losses. If a home is damaged as a result of fire or floods, an insurance policy will provide temporary housing as the home is being repaired. During this time, all the expenses are settled by the tenant insurance policy until when they can return to their home.
3.Protects personal belongings against accidents.
Losing personal belongings as a result of accidents like fire and floods is always detrimental to many tenants. Without insurance cover, it is always costly to replace all these things. Acquiring a tenant insurance will give a tenant peace of mind during this hard time. Because a tenant insurance covers for the losses that may occur due to accidents. These personal belongings may include; furniture, electronics, kitchen appliances just to name a few.
There are times when disputes arise between a landlord and the tenant concerning the property, the tenant insurance at times can provide for legal cover for the tenant. Equally, if a tenant is injured as a result of a fault within the property due to the negligence by the landlord, the tenant insurance cover can provide legal support if the tenant wants to claim compensation.
5.Protection of property while off premises.
A tenant may decide to travel or go away from home for sometime, for one reason or another. During this time, their property may not have anyone around to protect it. There are risks of losing property or coming back to find it damaged by intruders. It is therefore important that tenants get insurance
as it will cover their property and therefore saving them the stress of getting losses.
A landlord’s insurance only covers the upgrades made by the landlord. The improvements done by a tenant are always not covered and in case of damages, the tenant is likely to go at a loss. As such, tenant insurance is important since it will cover the improvement that they make. They can therefore be liable to seek compensation in the event an accident occurs and the repairs get damaged.
7.Protection against theft.
Theft and cases of burglary happen once in a while. When thieves invade or burglars get into the home of a tenant and make away with their property, these possessions are usually not covered by the landlord’s insurance. Tenants need to take an insurance policy because it protects them against cases of theft and burglary.
With the above benefits, tenant insurance should be regarded as important as other forms of insurance. This way, may people will be protected from the every day damages and losses.