Renters Insurance

By: Manvith Ponugupati, Samuel Regalado, and Manit Parkari

What is Renters Insurance?
● Renters Insurance protects personal property in a rent residence
from unexpected situations.
● Renters Insurance protects your belongings from damages,
burglaries, tornados, fires and loss.
● Renters Insurance covers personal injury, liability, and additional
living expenses.
● Your landlord will often not cover damages on your belongings,
that is were renters insurance comes in to pay for unexpected
situations.
Statistics on Renters Insurance

The average renters insurance in Texas costs $173 a year

What does the policy cover (contents, injury, property damage)?

Renters insurance typically covers contents (personal belongings), injury liability

(if someone is injured on the rented property), and property damage (damage to

the rented property or someone else's property caused by the tenant).

Who needs renters insurance?

You need renters insurance if you rent and you want the stuff in your apartment to
be protected.
Case Study/Scenario
Joshua’s apartment flooded and it damaged his TV, bed, rug, and computer. Renters
Insurance covered all of it and they also gave him a place to stay until the apartment
was fixed.
Specific Case Study w/ information about the policy
Tim’s apartment caught on fire and it damaged his computer, TV, and basically
everything else he had. Thankfully, he had renters insurance. Replacing all of his stuff
cost $5,000 and he had a $200 deductible. How much does the insurance company
pay? It pays $4,800 and he only had to pay $200.
Someone that didn’t have renter’s insurance
Corbin’s apartment was broken into and the thieves stole all his valuables. His TV,
computer, desk, laptop, and iPad were stolen. He didn’t have renters insurance, so he
lost all of those things (worth $7,000). If he had renter’s insurance he would have a
$500 deductible and the insurance company would’ve paid $6,500.
Why is not having Renters insurance a bad idea.
Without renters insurance you will be hooked financially if something bad happens,
putting you into debt. You won't have coverage if someone breaks into your home and
steals your belongings. Your landlord will also not cover any of the damages putting
you in blame to pay the fees.
Additional Vocab
Replacement Cost: The amount of money the insurance company has to spend to
replace everything.

Deductible: The amount of money you have to spend for the insurance company to
start covering the rest.

Actual Cash Value: Replacement Cost - Depreciation of damaged or stolen property

Depreciation: The deduction in value of your property because of damage

Additional Vocab Cont.
Personal injury: Covers the cost of injury

Liability: Covers the cost of someone else’s injury

Property Damage: The damage to your things

Inventory: All of your possessions