As a renter, do I need contents insurance?

By Maria Milillo, Business Support Manager, Property Management, Raine & Horne
DECEMBER 2, 2020

Protecting your possessions is equally essential whether you own or rent. Ultimately, fires floods and criminals won’t distinguish between homeowners or renters.

To ensure you don’t lose everything to misfortune or misadventure, especially with Christmas rapidly approaching, consider taking out some renter’s insurance to protect your belongings.

Designed with tenants in mind, renter’s insurance covers against financial loss caused by damage caused by weather events or accidental loss. It may also protect a tenant against unintentional harm to fixtures and fittings inside the rental property. Better still, renter’s insurance may cover your possessions for damage when you move between properties and against theft, which often increases at this time of year.

When it comes to renter’s insurance, pretty much everything you own in the house is considered contents such as your furniture and floor coverings, clothes, jewellery, toys and tools. There are exceptions to the rule, such as your pet puppy or moggie. Also, you won’t be able to insure anything in the pantry, including this year’s Christmas pudding. Additionally, fittings and fixtures are not covered, while your car falls outside the coverage provided by renter’s insurance. 

Moreover, many insurers will put claim limits on expensive items such as jewellery, art, cameras, and other pricier items. If you have possessions that fall into these categories, it might be worth listing and insuring them separately on your policy. For example, if you are worried about the safety of a cherished and expensive wedding ring, you can choose to add this item of jewellery to your policy.

As with most types of insurance, renter’s insurance policies vary from insurer to insurer. So, comparing policies with the help of a financial services specialist such as Our Broker to find the level of cover that best suit your needs is a valuable exercise.

The cost of renter’s insurance will depend on a few factors including the value you place on your belongings, the suburb where you live, what kind of property you’re renting, and the level of home security.

Whether you are about to move into a rental property for the first time or are a longer-term tenant and want to protect your valuables, OurBroker can help find you a suitable policy.

Call Our Broker today on 1800 913 677 to find out more.