If you have guests into your rental home or apartment you are liable for them. If someone gets injured or has an accident on your rental property you may find yourself in the hospital waiting for an injured friend.

Even though there was no way you could foresee an accident and even if it were your friends fault, the fact is you are liable for the safety of your guests the moment they enter your home. If you had renters insurance and liability coverage it would help pay for your injured friend's medical bills.

Renters Insurance and Liability Coverage

Most renters insurance policies provide coverage for injuries that occur in your home as a result of an accident, as well as accidents that occur outside of your home that are caused by you, your pet or your property (Please note: this does not include car accidents.) The liability coverage you receive in most renters insurance policies also includes legal defense costs, if you are taken to court over an associated accident. You can typically choose between $100,000 and $500,000 of liability coverage.

What About My Landlord's Policy?

There is a common mis-perception among renters that they are covered under their landlord's homeowners policy. However, this is not the true. Most landlords' policies only cover the common areas of the building and its surrounding infrastructure.

Why you Need Renters Insurance

Not only does renters insurance provide liability coverage, it also provides coverage for your belongings from theft and damage and destruction from fire, smoke, lightning, windstorm or hail and vandalism while living in a rented complex. You may think that you don't have enough stuff worth insuring. But if you look around your home and start taking a mental inventory of your belongings such as your furniture, computer and electronic equipment, CD and DVD collections, clothing, your bike, etc., the cost to replace all your personal property adds up quickly. In addition, some renters insurance policies will even cover living expenses if you are forced to relocate due to a covered loss.

Renters Insurance is Affordable

Renters insurance and liability policies typically only costing between $15 and $30 a month (NAIC.org). When you consider not only the liability protection, but also coverage for your personal belongings, renters insurance truly is one of the best values on the insurance market today.