Between 2000 and 2019, the number of households occupied by private renters in the UK more than doubled from just over two million to 4.55 million.
This highlights the challenges posed by exponential house price growth in these shores, as aspiring first-time buyers struggle to secure the necessary deposit to achieve a viable mortgage offer in 2021.
For those of you who do continue to lease property in the UK, it’s important to invest in renters insurance and secure your material possessions. Here are the reasons you’ll regret not making this investment.
The average renter’s insurance policy costs around £130 ($180) per annum, which is relatively affordable and certainly within the means of most renters on these shores.
This cost also pales into significance compared with the financial impact of replacing lost, stolen or damaged possessions within the property, so it’s certainly no reason to avoid investing in renter’s insurance and seeking out bespoke coverage to best suit your needs.
It Covers Losses to Personal Property (in Various Circumstances)
As renter’s insurance policy protects against losses to your personal property, it’s a viable investment that actually saves you huge sums of money over time.
It can also cover a huge range of material possessions too depending on your individual coverage, such as clothes, luggage, computers, furniture and electronic devices.
Even standard policies protect you against a wide range of perils too, from explosion and falling objects to fire, lightning and even riot or civil commotion (you can see the full list here).
It May be a Contractual Requirement
As landlords don’t want confusion or to be held accountable for damage to your possessions, they may compel you to take out renter’s insurance as a contractual requirement.
This is a growing trend in the modern age, whether it’s the landlord’s idea directly or part of a directive that emanates from the landlord’s insurance company.
The idea here is that if the tenants are covered directly, accountability is transferred away from the landlord and a more amicable contract can be agreed by both parties.
It Provides Liability Coverage
Most standard renter’s insurance policies also make a provision for liability coverage, which provides protection in instances where someone is injured while in your property.
It can also provide specific coverage in instances where you or another covered person accidentally injures someone in your home, paying any court judgments in addition to associated legal expenses up to the individual policy limit.
It Covers Your Belonging Even When You Travel
We close with a little-known fact, which is that renter’s insurance covers your personal belongings at all times, whether they’re in your home, car or on your person as they travel.
In theory, this means that your possessions are covered from loss due to theft and similar risks wherever you may be in the world, which reinforces the value of renter’s insurance from a cost perspective.
Of course, the extent of your coverage will depend on the precise terms of your policy, but this is a huge benefit that can be hard to ignore!