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When Your Toaster Turns into a Pyro

By Lacey Mitchell

When your toaster turns into a pyro, what do you do? You’re finally on your own and real life takes over; there is a fire in your house, a tornado, or a burglary. Are you covered? Many young adults do not think they have much worth insuring, but the reality is that having a renter’s insurance policy can provide replacement of your belongings in the event of a claim and is very inexpensive!

Take a look around your apartment, what do you own? Most people when thinking about their personal belongings go straight to their most expensive items, their computers, TVs, and gaming consoles. However, if there is a fire and everything you own is gone down to your pots and pans, shoes and socks, books, movies, and sheets it can cost a lot more than you may think to replace your belongings. The little things add up quickly and without renter’s insurance you can end up struggling to get back to where you were before the claim happened.

Your landlord’s policy covers your building, but if the unexpected strikes, a renter’s policy covers your stuff. And the unexpected might be more likely than you think: renters are almost twice as likely to experience a burglary as homeowners. If your apartment is burglarized or damaged by a wide variety of causes, your policy could help foot the bill to replace your belongings, and it could cost less than you think: renter’s insurance on average is about $10-15 a month and can get you a discount on your auto insurance in most cases.

Renter’s insurance covers all of the following and more:

  • Theft
  • Fire or lightning
  • Windstorm or hail
  • Smoke
  • Power surge
  • Vandalism or
  • malicious mischief
  • Freezing of plumbing system
  • Weight of ice, snow, or sleet

In addition to replacing your belongings, your renter’s policy can also pay for:

  • Removal of your damaged property after a fire, or other loss covered by the policy.
  • Extra expenses for your household to live elsewhere, if your home is uninhabitable because of damage covered by the policy.
  • Liability: In certain situations, your renter’s policy could help protect your finances by paying for damages which you’re legally responsible for, and even your legal defense. For example, the policy could help cover legal defense costs if a visitor accidentally got hurt at your place and took you to court.

Renter’s insurance is a key piece to any renter’s financial stability. The cost to insure your belongings is very low compared to the cost to replace everything in the event of a claim.

Lacey Mitchell is a 26 year old graduate from the University of Missouri, Columbia with a Bachelors in Financial Planning. While attending school, she was a Financial Counselor for the Office for Financial Success. Currently she owns a State Farm Agency in the Central West End in St Louis Missouri.