insurance broker with hands covering model house

Why Is it Important to Have Tenant Insurance in Winnipeg?

Whether you're renting an apartment, condo, townhome, or a full house it's incredibly important to have your own insurance. Having the right kind of insurance is absolutely vital to your personal and financial protection. The insurance covers you in the event of a loss, and tenant insurance is no different.

Let's look at why having tenant insurance, a type of home insurance specifically designed for renters, is so important.

Why Do You Need This Type of Home Insurance?

If you believe that your landlords' insurance policy is enough to cover you, then you would be pretty incorrect in that belief.

Landlords' insurance only covers the landlord in the event of a loss. The protection is specifically for them and their building and assets.

What does that mean for you and your stuff? It's definitely not included.

Here's where tenants insurance comes in.

Imagine you accidentally left something on let's say you forgot to turn the stove off and the pots still on there, or your hair straightener was left on. A fire starts in your building and causes extensive damage. The landlord's insurance will cover the damage to the building, but in turn, they decide to sue you.

The cost of the lawsuit is $650,000, and if you're like most people, you don't have that kind of money laying around. This is where your tenant policy would kick in and not only cover that lawsuit amount as your liability.

Let's look at what else is covered.

What Does Tenant Insurance Cover?

So we've covered one insurance base, liability. This covers any incident that was unintentionally your fault that the landlord (or other tenants!) can sue you for. Typically people will go with basic liability coverage of at least $1 million, but you do have the option to increase the amount for a little bit extra money.

Another important aspect of this type of home insurance is property insurance. Take the scenario above for example where your place caught fire. You've lost most than half of your things because of it and the landlord is not responsible for covering that loss.

If you had a tenant policy, your property would also be covered if it's been lost or damaged in the fire. Not only that, but it would be replaced with similar like, kind, and quality and brand new. Imagine not only have to figure out how to pay a $650,000 liability lawsuit and on top of that how you'll replace all your things?

Tenant insurance is the peace of mind that you can purchase to not have to think or worry about any situation like this.

Tenant Insurance, Don't Go Without It

Tenant insurance, a type of home insurance specific to renters, has a lot more to offer than just the liability and the property insurance we've discussed. Get in touch with the insurance brokers at Hillis Insurance Agencies in Winnipeg today for a free quote on a tenant insurance policy and learn of additional coverage options for your home or small business.