Student Renters Insurance - All You Need to Know

Studying away from home is usually the first step towards becoming an independent individual for most of us. But with this newfound freedom comes the responsibility to protect your belongings as well as avoid any possible liabilities. Especially if you are living on a student budget, handling such situations with a solid plan is very important. Student renters insurance is one such clever option to make sure your belongings are insured, and you don’t have to take the blow of any liabilities from your own pocket. 
So, let’s find out what student renters insurance is and how it works. Dive right in! 

Why do students need renters’ insurance? 

Renters insurance is one of the most essential types of insurance if you are living as a tenant. Especially for students staying away from, student renters insurance is a great way to make sure their belongings are insured in case there’s any damage. When you live with your parents, their insurance covers your belongings. But living away from home as a student is where the necessity for your own student renters insurance begins. 

Be it a university student hall, an off-campus dorm or an independent apartment, it is always a good idea to get tenant insurance for students since universities and landlords are usually not responsible for tenants’ belongings.

Landlords may have building insurance or renters’ insurance but that usually does not cover the damage or theft of your goods and belongings. Thus, insuring your belongings is more important than most may believe. 

What the student apartment insurance does and does not cover? 

Student renters insurance covers more than just your belongings. Thus, the insurance is pretty beneficial for students living on their own. Here’s what student apartment insurance covers: 

1. Personal property coverage

This coverage includes all your personal belongings that you have in your student accommodation like books, clothes, rugs, electronics, musical instruments, sports equipment, utensils, mattresses, etc. The causes of damage include: 

• Accidental overflow or discharge of water or steam
• Aircraft
• Explosion
• Falling objects
• Fire or lightning
• Freezing
• Riots
• Smoke
• Sudden and accidental burning, cracking, bulging or tearing
• Sudden and accidental damage due to short-circuiting
• Theft
• Vandalism
• Vehicles
• Volcanic eruption
• Weight of snow, ice or sleet
• Windstorm or hail

However, damages caused by landslides, earthquakes or floods are not really covered under student renters insurance. 

2. Liability coverage

Most tenant insurance for students provides the student apartment insurance buyer with liability protection along with the usual coverage for belongings. The liability protection includes the coverage of any repair that is necessary in case you have damaged the landlord’s property. Thus, having insurance will help you avoid burdening your rent guarantor with any liability as well. Liability protection also gives coverage in case you have damaged someone else’s property in the accommodation, i.e. your roommates, flatmates, or other tenants. In case of a health hazard, the insurance buyer also gets health insurance coverage under the liability protection policies. 

What you need to know about student renters insurance

Buying insurance for the first time can be a tricky and overwhelming task since there are so many providers available in the market. The key to finding a good insurance provider and choosing what’s best for you is to ask the right questions. So, to make sure you know what exactly to ask your loan provider, you need to know about some factors that affect your insurance claim before you buy one. Let’s dive deep in and find out the essentials of student renters insurance: 

1. Cost of Insurance 

Before buying your student renters insurance, make sure to research the general cost of this specific kind of insurance. Generally, student renters insurance premiums are pretty affordable. Since the insurance is designed especially for students, the prices are pretty low, and the process is simpler. Make sure you inquire about any available student discounts so you get your student apartment insurance at the lowest price possible. 

2. Policy limits

Most insurance policies come with pre-decided limits, i.e. they only provide coverage up to a specific amount or cover valuable items partially. So, while buying your student renters insurance, make sure you inquire about these limits so you get an amount that matches your needs. In case you have goods that are very expensive, like musical instruments or sports equipment, it is advisable to buy special add-ons so you can get complete coverage.  

3. Deductibles 

Before the insurance claim has been made and the coverage kicks in, you are supposed to pay a specific amount. This initial amount is called the deductible of the insurance. In the case of lower premium renters insurance, the buyer has to pay a huge amount of deductible. Thus, make sure you calculate not only your premium but also the deductible while buying tenant insurance for students. 

4. Actual cash value Vs. Replacement cost 

While insuring your personal belongings, you can opt for one of the two types of coverage: the actual cash value and the replacement cost. In the case of actual cash value, the coverage is calculated according to the actual value of the item, which means the item’s initial value and the value depreciation are considered. On the other hand, if you choose the replacement cost coverage, you get coverage according to the current market value of the item. While the actual cash value coverage is the cheaper option, you get more coverage in the replacement cost coverage, thus making it a better option for expensive items like jewellery, electronics, musical instruments, etc. 

5. Considering roommates 

It is important to know that standard tenant insurance for students only provides coverage for the belongings of the buyer. The coverage only extends to your roommates, flatmates or any other tenant living in the building. Thus, before buying your renters insurance, remember to discuss it with your insurance provider and clarify if the coverage only includes your belongings. Let your roommates know about it so they have clarity and can get their own insurance.  

6. Insurance documentation

To have smoother insurance coverage and claiming process, make sure to keep documentation of your insured goods. Click pictures of your items and keep them with you in case there are any mishaps and you need to claim your insurance money. Having this additional documentation can help you prove the mishap and the loss of your belongings. While buying your student renters insurance, you can also ask your provider about what proofs and documentation they require during the claim process so you are prepared beforehand. 

7. Policy duration 

Imagine losing your belongings in a fire or apartment flooding and finding out your renters insurance had expired! Unpleasant and disappointing. Most student renters insurance provides you with coverage till a specific time. After the time frame, the insurance expires, and you have to renew it for continuous coverage. So, naturally, it is important to ask your insurance provider about your policy duration and the possible renewal process. 

8. Claim process 

One of the most important things you should inquire about while buying insurance is the claim policy of the provider. By knowing the process of the potential provider, you can decide on better options with simpler claim processes. Usually, insurance companies have easier claim processes for students. So, make sure to ask your provider about how the claiming process is going to be in case of an emergency. Remember to ask for a direct contact that you can reach out to when the need arises. 

Losing your belongings to unfortunate events or facing a liability so huge that your finances are out of proportion can be devastating when you are away from home. It can even affect your studies and cause a lot of stress. On the other hand, having student renters insurance can be the perfect safety net that you are looking for so that your journey towards a successful life is never interrupted!