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Home Can I Afford Renter's Insurance? How can I find cheap renters insurance?

How can I find cheap renters insurance?

College students and recent graduates both have the same problem of tight budgets due to student loan and tuition payments. There are ways to cut costs in the budget while still getting everything needed to keep valuables and property safe and protected. Renters insurance is a way for a renter to get paid for valuables lost or damaged. Apartment renters face theft and fire on a regular basis.  Bureau of Justice Statistics Crime Characteristics found that renters were more likely than homeowners to have a crime  happen around their property, having cheap renters insurance can help a college student to recover from a loss much faster should one occur.

There are certain things students and recent graduates need to look for when trying to find the best policy for their money. Cheap renters insurance should still offer enough coverage and a low enough deductible to be reasonable should the renter need to file a claim. There are two means by which the insurance company might repay the renter. Those who want to get cheap renters insurance might want to opt for the cash (depreciation) value. This will pay for losses minus the cost of the age of the item. For instance, if a computer was purchased one year ago for $1,000, and today is only worth $800, the insurance company would pay up to $800, depending upon the deductible. Another form of repayment is the replacement value. This would pay the renter $1,000 for the same computer. These are often more expensive policies than cash value, and might not be the best option for those on a college student budget.

Deductibles often baffle college students purchasing insurance for the first time. This is simply the amount which must be paid before the insurance company will begin to compensate for any losses. If the deductible on a policy is $500, then the renter must pay $500 then the insurance company will pay the difference for the loss. In the computer example, for a cash value cheap renters insurance policy, the renter would pay the first $500 and then the insurance company would offer $300. For replacement value, the insurance company would pay the second $500 after the renter had paid the first $500 for a total of $1000 replacement cost.

Getting cheap renters insurance is possible. An article from Young Money notes that many students can find their own insurance for $15 - $30 per month, but finding the best policy is a matter of the renter educating himself on the different types of policies available in his state. Regulations vary and it would be best for the anyone seeking a cheap renters insurance policy to discuss the matter with a local insurance agent. The agent will be able to help the student to get the best possible coverage for his needs.



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