Renters insurance; beneficial for student housing

Katy TerBerg
Staff Reporter

Whether braving the elements or keeping electronics intact, college students and recent college grads are looking for a sense of security. If a break-in occurs or a power line is knocked down, people want to be protected. Insurance companies assure students that the best way to obtain personal and financial security is through renters insurance.

“If you are a college student, most likely you are covered under parents’ and home owners insurance. If they have $100,000 worth of contents coverage, you should be covered for around ten percent,” said Cole Tomberlain of East Texas’ Charles Tomberlain’s Insurance Company.

According to the website E-Michigan Insurance, renters have two choices when it comes to insuring their personal property:  they can insure for the actual cash value or its replacement value.  The replacement value will a bit more than the cash value.

“Renters insurance is inexpensive and necessary,” said Tomberlain. “If a fire were to occur in your apartment and cause $4,000 worth of damages, your parents likely have a high deductible and their insurance would only cover $1,000 worth of damage, so you would be responsible for the other $3,000. Renters insurance would reimburse the cost.”

According to the website, many Michigan landlords require tenants to purchase a renter’s insurance policy when they sign a lease.

In addition to protecting against property losses, renters insurance offers protection against potential lawsuits if a guest is injured on that property.

“The chances of something like that occurring are far more common than people realize,” said Tomberlain. “That extra buffer of protection in case of an accident or injury can make a substantial difference.”

In short, renters insurance is designed to give renters peace of mind. At the same time, insurance agents recognize the economy’s drawbacks.

“Renter’s assurance is very affordable,” said E-Michigan Insurance. “In general, premiums are low. When combined, the premiums can become even lower, even though the base price will likely increase. Many insurers carry different types of policies in order to cover different insurance markets and meet their policyholders’ needs.”

“If you’re a college student or recent graduate, you should get renters insurance,” said Tomberlain. “It’s a simple process with a great payoff.”

Short URL: http://www.westernherald.com/?p=29540

Posted by njstrehl on Feb 13 2012. Filed under Housing Guide, News. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry

Nora Strehl