Why You Need Renters Insurance
Are you renting an apartment, house, condo, or any other property that you do not own? If so, you need renters insurance. Also known as tenant insurance or apartment insurance, this type of coverage protects you and your possessions from potential catastrophe. Many Canadian tenants are vulnerable by not obtaining renters insurance.
Indeed, Statistics Canada indicates that less than 50% of all tenants across Canada don’t currently have renters insurance. In some cases, these individuals might just be postponing the purchase of tenant coverage. In other cases, they may misunderstand what a landlord’s property insurance policy covers.
Either way, not having renters insurance as a renter in Canada is a significant risk. Here are a few reasons why.
Your landlord’s policy doesn’t cover your belongings
When you buy a home, you get homeowner’s insurance. This kind of policy protects both the physical structure of your residence and the belongings within. As a renter, you aren’t responsible for insuring the structure itself. Whether the rental is in an apartment building or a full house, your landlord likely has the policy to cover the physical structure. This policy should also extend to large items such as the boiler and appliances. What the landlord’s policy won’t cover, though, is your personal belongings. Living in a rental property without tenant insurance means you have no protection for your furniture, electronics, jewellery or other valuables. A renters insurance policy will protect these items in case of fire, flooding, or other disasters.