Roommates are a great way to save money! Splitting the costs of rent, utilities, and even your renters insurance coverage are great ways to save money! Except for that last one.
In the opinion of most insurance companies, your possessions and your roommates possessions need to be on completely separate policies in order to be covered! This is not always the case with every insurance carrier, but a common misunderstanding with roommates renting an apartment, condo or home together.
Our insurance company’s advice is for every roommate to carry a separate renters insurance policy, but we believe every case is unique and want to have a discussion to best understand your insurance needs.
Why Separate Renters Insurance Policies? And Are There Exceptions?
- Proper Amount Of Coverage — When you buy a renters insurance policy, our agent’s determine the best amount of coverage you need based on the value of your belongings. You know the price of your stuff best and can assure you have the appropriate limits of coverage.
- Separate policies help you save money — How? If your roommate has a few antique, or expensive items they will require higher levels of coverage on your shared policy. You will be forced to pay an additional premium to cover your roommates stuff! This isn’t fair to you to pay increased rates for their additional coverage and in the event of a claim you’ve paid to restore their property. You shouldn’t be forced to pay for your roommates belongings.
Single Policy Possibilities
Some insurance company’s will write apartment renters insurance on one policy despite their being roommates. If you think this would be a good option for you and your roommates, consider and discuss the following:
- What will happen if a roommate decides to buy very expensive electronics or jewelry and add it to the existing renters policy? Everyone’s rates will increase with the additional limit of coverage.
- What happens if one person moves out? Or a sub-leaser comes in for a temporary amount of time?
- How do you split the bills? (By value of property, by percentage of stuff, or by number of people)
- What happens if payment is missed or someone is late to pay?
Immediately you can see the advantages and reasons why many insurance companies write apartment renters insurance separately when dealing with roommates. Renters Insurance coverage can also be tricky when dealing with big expenses as it is not uncommon to share the purchasing costs between roommates.
In general, our insurance agency feels it is in your best interest to buy renters insurance policies individually rather than a collective policy although some insurance company’s will allow and feel otherwise.
What Is A Roommate According To Insurance Companies
Roommate (/ˈro͞omˌmāt/) noun. — someone that you live with whom is not related to you either through marriage or family affiliation.
Your husband/wife doesn’t need a separate apartment renters insurance policy.
Many insurance companies will extend coverage for Domestic Partnerships, but you must specifically look into the policy details and how they define a domestic partnership and if it falls into a category of a roommate.
Renters insurance is intended for single people, married couples, and families who co-own their valuables.
An advantage to working with an independent insurance agency, is if your situation is unique or if it is a typical apartment renters insurance policy our agency has access to numerous markets and works with over 30 insurance carriers. As a client of Southern States Insurance you can be confident you are getting the best of the market because our professional agents have shopped your policy with numerous carriers to find the best price possible for the coverage you need specific to your situation.
What Does Apartment Renters Insurance Cover?
If you are wondering if you need renters insurance? Determine the value of your personal property in your apartment and what you would do to replace it. Standard renters insurance policies cover the following and more:
- Fire or lightning
- Windstorm or hail
- Riot or civil disturbance
- Vandalism or malicious mischief
- Broken glass
- Falling objects
- Ice, snow, or sleet
As you can see Renters Insurance coverage is a very comprehensive insurance coverage that provides a great amount of protection. A renters policy additionally covers the costs of living if your apartment, condo or home becomes uninhabitable. Your indirect costs and living expenses are covered in your renters insurance policy.
Don’t make the mistake of assuming your landlord or property manager’s policy will cover you in the event of a loss. It is your responsibility to protect your home and your property and this coverage makes it easy with such few exclusions.
Final Words Of Advice From Our Insurance Company
It is possible to have a single possible to cover you and all of your roommates – Yes.
In almost every circumstance we would advice against it and recommend every individual to carry their own renters policy. There are numerous complications that can arise from sharing coverage and although it is possible it only makes protecting you, your property and your finances more difficult.
If you need renters insurance it is one of the easiest processes. Our insurance company can have you the insurance coverage you need sometimes in a matter of hours and all it takes is a simple phone call. The cost of renters insurance for your apartment, condo or home is typically less than a dollar a day!
Get a free renters insurance quote at the top of our site and give one of our agents a way to learn more about you and your risks. We can protect your property for a cheap price.
If you don’t have Renters Insurance you need to buy a policy today, it is not worth losing so much, especially when it costs so little to protect it. Encourage your roommates to do the same by purchasing renters insurance. Southern States Insurance can help you when you are ready to have a conversation.