Tenants are much less likely than homeowners to have home and contents insurance. But there’s no reason why tenants should be putting themselves in a position where they could be out of pocket from risk of theft and accidental damage.
One misconception from tenants is that they assume their belongings are covered by their landlord’s policy. This is incorrect. The tenant is responsible for their contents in the property. The landlord is responsible for insuring the building and any furnishings provided. And for those young tenants, you should not assume you are covered by your parent’s insurance either, because you’re not.
A common reason for renters not to take out home contents insurance is the high cost, not having enough possessions to make it worth the while, and the fact that it is not considered an ‘essential’.
For many young people balancing increasing rents, credit card debts and the general rise of cost of living, home contents insurance can often be the first expense to go.
Scrimping on insurance is a false economy. Once you take stock of just how much your possessions are worth, paying for home contents insurance to protect your possessions will seem worth it if anything should happen to your belongings later down the track.
Another reason for renters to acquire home contents insurance is the time it takes to organise the insurance policy. With so many of us being time-poor, researching insurance policies and then setting them up is often a task that is put off from week to week.
As busy as we get, it’s important to set aside some time to get organised with mundane things like organising insurance. Try to set aside some time to jump on the internet and do some
research. Narrow down your research by making a list of top three companies who you think have a suitable policy for you and then contact each one to see who can give you the best deal.
You don’t want to be in a position where it’s too late and you are kicking yourself for not taking out a home contents insurance policy. Don’t put your personal belongings at risk: insure!