What is renters insurance? Why do you need it? Not every renter knows about renters insurance, but everyone should. Renters insurance protects both you and your belongings. Many people believe if you are renting your home, you don't need insurance, but this couldn't be further from the truth. Here are the top reasons to purchase a renters insurance policy.

1. Protection Against Loss

Your landlord does have insurance, but it is not your insurance. It will not cover the loss of your belongings. Think about what you own, and how much you spent acquiring the items. And then consider how much it will cost to replace them. You may have a high end wardrobe, a high-definition television, expensive musical instrument or surround sound. When you think about the cost of replacing them, it really adds up. Without renters insurance, you can lose it all. It may be fire, theft, or vandalism, there is no reason to leave it up to chance.

2. Protection Against Lawsuits

Your landlord has insurance to protect his or her interests, but this doesn't cover your interests. A slip by a delivery driver on an icy sidewalk will leave him (and his insurance) open to lawsuits. But a neighbor bitten by your pet, or a fall in your rented home from water on the floor, leaves you open. If you inadvertently cause a fire in your own suite, how can you pay that repair? And what if the fire spreads? Without insurance, you could be set to lose a debilitating amount of money.

3. Loss of use

If you rented home becomes unusable, what now? Without renters insurance, you could be stuck with the cost of additional rent at a hotel or other accommodations until repairs are made. Or you may have to stay with friends and family. Renters insurance can protect you against loss of use. If it is in your insurance plan, it may cover a hotel or other rented premises until your original rented home is repaired. This can be a relief to many renters.

Renters insurance is comprehensive, and can protect you against many different types of losses. Be sure to note on your policy what is not covered, so there are no surprises later. And your policy can be more inclusive or less inclusive, with additional liability insurance, identity restoration insurance and so on. Be informed, and make informed choices about your rental coverage. Your insurance broker like one from Coast Comp Insurance is there to help you find insurance to best fill your needs.