By Michael, on September 3rd, 2012 
If you're renting an apartment or home, you may be considering renters insurance. This type of insurance will protect you in case any of your belongings get stolen or damaged. It will also protect you if your rented home becomes damaged in any way because of a mistake you accidentally make. On the other hand, renters insurance can become just one more bill you have to pay that you never really end up needing. If you're trying to decide whether or not to invest in this type of insurance, here are a few pros and cons of doing so:
Pros
1. You don't have to worry about the financial burden of theft. If your valuable possessions get stolen, you'll have insurance to help replace them. This includes possessions in your home, car, and even sometimes in public places, depending on your policy. Since burglary and theft are on the rise thanks to the ongoing economic difficulties, there does seem to be good reason to protect your personal effects with renters insurance.
2. Your landlord's insurance won't cover you in disaster cases. If all of your belongings get destroyed in a fire or flood, your landlord's insurance will only cover what it takes to repair the building. It won't cover what it costs you to replace your personal items. If you live in an older building that may be more likely to suffer from the consequences of disaster, renters insurance may be a wise investment.
3. If you get sued by your neighbors or landlord because of some sort of error on your part, renters insurance will help you defend yourself. There's nothing worse than having to deal with an accident that costs you thousands of dollars.
Cons
1. Your deductible greatly depends on how much you're willing to pay in the form of a premium each month. Some renters insurance policies only cost you around $10 a month, but those are the ones that come with the highest deductibles and offer the least amount of coverage. If something bad happens, and you have to pay a $3,000 deductible in addition to having to pay for the replacement of some of your things that aren't covered, you might not be too happy with your investment in renters insurance.
2. As previously mentioned, life is even more expensive with the additional cost of renters insurance. If your rent's already high and you have several other financial obligations, renters insurance may be an extra financial strain. The fact of the matter is that most renters don't end up needing this type of insurance. Unfortunately, those who decide not to invest in it and end up needing it are often faced with regret.
Do you think renters insurance is worth it? Let us know.
Picture Credit- The Complete Idiot's Guide to Buying Insurance and Annuities- You're no idiot, of course. You have a responsible job, manage the family finances and help the kids with their science projects. But when it comes to buying insurance, you're so overwhelmed that you're ready to say yes to almost any policy. Don't sign on the dotted line!
Susan Wells is a guest blogger and professional writer who frequently shares content about insurance and financial protection. She writes for www.insurancequotes.org and various other sites, and she hopes to share her advice with as many interested readers as possible. Susan welcomes comments and questions.
