Are You Downsizing?

With today’s economy, many have found themselves moving into smaller, more affordable homes, moving back with relatives, or renting as a way of biding time until the tide turns. To downsize does not mean to forget about your personal possessions or your potential liability risks with regard to insurance.

It is one of the most commonly repeated myths about insurance. Renters don’t need insurance because their landlord’s policy provides coverage for the renters’ property.

No, it doesn’t. Further, if someone slips and falls in your apartment or rented home, your landlord’s insurance usually won’t provide any coverage for you if you are sued.

Renters insurance is basically like homeowners coverage without coverage for the structure. It can cover your property and liability exposures.

As with homeowners insurance, keep track of what you own; be certain that your property is covered for replacement cost. For items of significant value, you should write down the model numbers, serial numbers, date of purchase and price. A photo or video kept in a safe place is good idea for showing proof of loss.

Always consider combining your auto and renters coverage with the same insurance carrier. Many companies will offer a premium discount if you have both policies placed with them.

Remember to include roomates and significant others for liabilty coverage.  Any person living in the household has a potential exposure for liabilty…especially if  one of your “possessions” is a dog.