Knowing where to start with renters insurance can be challenging, but we’re here to help!
We have created a list of seven words you need to know as you look for the renters insurance that is right for you.
Insurance: a contract, in the form of an insurance policy, which can provide an individual with financial protection or reimbursement against covered losses.
Insured: the individuals covered by the insurance policy. For renters insurance, the named insureds are you and your spouse. Unrelated adults residing in the same rental unit should each obtain their own insurance policy.
Coverage: what the insurance company can help protect under your policy. For renters insurance, there are three main categories of coverage: personal property, loss of use and personal liability. You can easily find out how much coverage you need
through Indiana Farm Bureau Insurance’s personal calculator.
Policy: a written contract for insurance between an insurance company and policyholder stating details of coverage
Quote: an estimate of what it could cost you to purchase insurance and gives you the ability to compare prices. Getting a quote does NOT mean that you have purchased insurance. Learn how you can get
a quote in just three easy steps: How To: Renters Insurance in 3 Easy Steps
Claim: a request made by the insured to receive payment from the insurance company due to a loss that is covered under the policy. If your valuables are damaged, you have the right to “make a claim” to notify your insurance company.
Deductible: the portion of the covered loss paid by the policyholder. For example, if your $1,250 laptop gets stolen from your rental unit and you have a $250 deductible, the insurance company will pay you $1,000.
Start with Indiana Farm Bureau Insurance and stop knocking on wood. Learn more about renters insurance: infb.com/renters
Sources:
Indiana Farm Bureau Insurance Glossary: https://www.infarmbureau.com/resources/glossary
National Association of Insurance Commissioners: https://www.naic.org/consumer_glossary.htm#I