Many people who lease lodgings don't purchase renters insurance because they don't understand how the coverage works. It has a number of components, and some people may be unaware of what renters coverage can do for them. Even those who know what it offers may have unanswered questions. To clear matters up, MP Davis Insurance Agency in Randleman, NC, answers some of the most frequently asked questions about renters insurance below.

The Renters Insurance FAQ

What Is Renters Insurance?

It offers renters many of the same protections home insurance gives to homeowners. It pays to repair or replace valuables lost due to fire, storm, vandalism, or theft. It also offers protection against liability and covers additional living expenses if your dwelling should become uninhabitable.

Aren't Renters Covered by Their Landlord's Homeowners Insurance Policy?

Most landlord insurance policies do not cover any of their renters' belongings. In the event of a fire or storm, any losses or damages to personal possessions are the responsibility of the renters themselves. That's one reason rental coverage is so important.

Do You Need Renters Insurance if Your Belongings Aren't Valuable?

Even if you own little of real value, renters coverage is something to consider. If you, your pet, or a family member should injure someone or damage their property, the policy's liability component pays to replace the damaged property and covers necessary medical treatment. It also pays for legal expenses that arise out of the incident.

Does It Cover Floods or Earthquakes?

Most insurers exclude floods, earthquakes, mudslides, and other rare perils from basic coverage. If you live in an area where such events occur, you can purchase protection against these threats with an additional endorsement on your policy. 

Renters insurance is essential for protecting both your current and future assets. To discuss your options with an experienced insurance agent, contact MP Davis Insurance Agency in Randleman, NC. They've been helping clients throughout the Piedmont-Tri area choose the right types and amounts of coverage for more than 40 years. They also specialize in home, business, and auto insurance. You can find a map and business hours on their website, or call (336) 498-7606 to request an insurance quote.