Found a cool new site today

This is a little off the beaten path but I ran across a cool new site today that I wanted to share. It's called Internet Deal of the Day. They look around the Internet for the best deals around and post them for everyone to take advantage of. The site is Internet Deal of the Day.

You can also follow them on twitter at InternetDeals.

Los Angeles fires catch renters unprepared

I'm sure all of you have heard about the fires that have been raging out in Southern California. These wind swept blazes have destroyed hundreds of homes and thousands of acres of land. With news reports now saying that the blaze was started because of a bonfire (i.e. man made) it makes the tragedy much harder to swallow. I wonder, though, how many of those who lost homes were renters and weren't carrying renters insurance?


I've seen at least one news story where this happened. This couple was apparently renting their home and were well-known as video gamers, computer techies, and comic book aficionados. They were apparently caught in a flash fire and were lucky to escape with their lives. They suffered burns while trying to escape and managed to drive themselves to a local fire station for assistance. Unfortunately, their home, and all their belongings, were destroyed. A call for donations was put out among the gaming community to help them try and recover.

I feel bad for them but I can't help but wonder how much better shape they would have been in if they had bought one less video game a month, or perhaps a few less comic books, and invested in renters insurance instead.

More Renters Insurance Nightmares

Here are two more cases where families are suffering because of no renter's insurance.

1. Last week a family in Lynchburg, VA lost everything when an oil heater gutted their home. They lost everything and have little hope left since they didn't carry renters insurance. The story, printed by the local ABC News affiliate, had this to say:

"Ms. Hamilton might have saved herself a lot trouble by getting renters insurance. There are some things you'll want to think about before going without. According to Statefarm.com, most people own more than $20,000 dollars worth of property. If you think you don't have that much, you could be surprised at how quickly CD's, books, even shoes add up. A common myth is you don't need renters insurance, because your landlord is covered. Not true. In most cases, a landlord's insurance only covers structural damage to the building. The average cost of renter's insurance is $10 $20 dollars per month."

Does that sound familiar? That's exactly what I've been saying since day 1 of this blog. I just don't understand why the word isn't getting out.

2. The next story comes from Osceola Township in Michigan where a home sustained significant structural damage when a chimney fire started spread to the attic. It took firefighters two hours to get the blaze under control but the damage had already been done. The home was being rented by a family and guess what...they had no renters insurance. Luckily there were no injuries.

I'm going to continue bringing you these types of stories in the hope that you will understand what can happen if you don't have renters insurance. Hopefully, through the unfortunate tragedy of others, I can convince you to take care of yourself and your family.

Links to full stories:

No Renter's Insurance Hurts Fire Victim

Osceola Township Chimney Fire

Fire Destroys Home - Renters Didn't Have Insurance

A family of four in Knappa, Oregon had their rental destroyed by fire early Sunday morning. The husband and wife awoke to smoke in the house around 12:30 AM and managed to get the daughter that was home out safely. Their other daughter was away with friends. The rented home was completely destroyed along with all of the families possessions. Three cats and two turtles died in the fire while the families two dogs and a cat escaped. The owner of the home stated that the house was covered by fire insurance which is good since the damage was estimated at $200,000. The renters, though, didn't have renters insurance and have lost everything.

It's sad but events like this are commonplace. Could the renters have done anything to prevent the fire? Who knows. The cause is still under investigation but by not having renters insurance they are now faced with completely rebuilding their lives out of their own pocket. What if the fire is determined to be the tenants fault? By not having renters insurance they have placed themselves at serious financial risk. For as little as $10-$20 per month they might have been in a better position to handle this.

I sincerely hope the Wrights can land on their feet after this tragedy but I hope my readers can learn a lesson here.

Here's a link to the full story:

Fire destroys Knappa home

What Does Renters Insurance Cover?

What your renters insurance policy should include

Renters Insurance policies are very similar in what they cover but do vary from insurer to insurer. That said, most policies contain the same general type of coverages. I did a quick survey of some of the major insurance companies to see what they covered and this is what I found.



1. Personal Property Protection. This cover the loss or damage of your property via some "named peril". Some of these "named perils" include, but are not limited to:

• Fire or Lightning
• Windstorm
• Smoke
• Vandalism
• Theft
• Accidental Discharge of Water

2. Family Liability Protection. Liability Insurance helps protect you from the financial risk arising from injury or property damage that you or your family may cause to other people. This includes injuries or damage at or away from your property. It typically includes compensation for the injured party, the cost of defending you in court and any court awards or settlements up to the limits of your policy. If you don't have liability insurance you run the risk of putting all of your assets at risk. When I say all of your assets I mean all of them. This can include 401ks, stocks, bonds, checking & savings, and your personal property. Forking over $10 or $20 a month to protect yourself from this doesn't sound so bad does it?

3. Guest Medical Coverage. Let's say you invite some friends over for dinner and they bring their kids. After dinner, your kids and theirs head into one of the bedrooms to play. About a half-hour later you hear a loud BANG followed by a screaming kid. You run to the bedroom to find the kids have decided to re-enact the latest cage match from the WWF and one of them is holding their arm and crying. If your friends are good friends they won't sue you. It is nice to know though that your Guest Medical Coverage will reimburse them for their trip to the hospital. Your policy will be very specific on the type and amount of coverage in these situations.

4. Additional Living Expenses. Let's say you do suffer some serious damage during a hurricane and have to re-locate while construction is being performed on your apartment. A policy with this coverage will cover the costs you incur which could include food, temporary housing, and other expenses. Would you rather have this option or have to stay in your in-laws guest bedroom for six months?

Like I said, these are just some of the examples of coverages contained in typical renters insurance policies. When you have yours drawn up you should go over it with a fine tooth comb to make sure you have the coverage you need. If you have questions ask.

We'll talk about the amount of coverage you need in a future article.

The Myths of Renters Insurance

Why you need renters insurance

With the cost of renters insurance being so inexpensive, and it being so easy to get by using online quotes, it floors me when I hear of people who lose everything during a fire, burglary, or natural disaster and don't have renters insurance. If you're renting an apartment, and don't have renters insurance, you're leaving yourself unprotected in the event something disastrous happens and destroys your possessions. Why is it then that so many renters fail to insure their property? They get caught in a trap that I like to call The Myths of Renters Insurance.

The Myths of Renters Insurance

Millions of renters don't have insurance protecting their possessions. With it being inexpensive and accessible why don't they? Because they let the following myths establish a false sense of security:

They think their stuff isn't worth much. Too many people make a quick decision on their properties value and don't give it the due diligence it deserves. While sitting at McDonald's throwing down that cheeseburger your property probably doesn't seem that valuable. Now flash forward six months and your now standing in the parking lot of your apartment complex watching the flames crawl into the sky as the heat from the fire in your apartment building warms your face. How valuable is your stuff now? Your property is probably more valuable than you think it is and the only way to determine that is by doing an honest assessment. Do you think it would be expensive to replace your entire wardrobe? I think so too.

Renters Insurance is too expensive. Did you even check? If you check you'd find that you could probably get it for less than the cost of three extra value meals at Mcdonalds. Per Month. That's right. Renters insurance isn't expensive but the price can vary depending on the insurer, deductibles, riders, coverage amount, and other options. Regardless, you can put together a nice renters insurance package for less than the price of a movie ticket, a large drink, and a large popcorn each month. Doesn't sound too expensive now does it?

My landlords insurance covers me. This is probably one of the biggest myths of all. Too many people get caught by this one and don't find out the truth until it's too late. Yes, your landlord has insurance. The lender for his buildings requires it. What they don't require is that he cover the contents of buildings. That responsibility falls upon the tenant. It's really sad how many renters fall prey to this simple technicality.

I live in a safe neighborhood. You willing to bet your brand new HDTV on that? Every neighborhood has crime. Some more than others. Even if you live in a great neighborhood with a low crime rate, how well do you know your neighbors? Everybody is susceptible to burglary.

Those are just four myths surrounding renters insurance. There are others. The lesson to learn here is to investigate your options and protect your valuables. Nobody else is going to do it for you.

Do you have a story about renters insurance or have a myth you'd like to expose? Leave a comment and let us know.

Why Get Renters Insurance?

Do You Need Renters Insurance?

Before answering this question, lets ask a few more and see what your answers are.

1. If a fire or natural disaster destroyed the contents of your rental can you afford to replace them at your own expense?
2. If your adorable little Miniature Schnauzer takes exception to the cable guy and decides to have one of his ankles for a snack are you prepared financially for the legal ramifications?
3. If, while you're on vacation, thieves break into your apartment and make off with your high definition TV and surround sound system do you want to have to pay for new equipment out of your own pocket?
4. Do you trust your neighbors (whom you might not even know) enough to know that they won't accidentally start a potentially disastrous fire? What about the folks up on the third floor that you may not have even seen before?

If you answered "No" to any of the questions above then you've answered the question, "Why Get Renters Insurance?" In short, ask yourself this final question:

"Do I value the items in my apartment or condo?"

If you answered yes then you need renters insurance.

What is Renters Insurance?

Renters Insurance is exactly what it says. It's insurance for people who rent apartments or condominiums. Mortgage companies require homeowners to carry homeowners insurance when they buy their homes. Owners of apartment and condominium buildings are required to maintain insurance as well but (and this is a big but), the owners of the apartments and condos aren't required to insure the contents of their buildings. Insuring the contents of the buildings falls on the renters should they decided to. Thinking that the apartment owner's insurance policy covers the contents of their apartment is a common myth, and mistake, that many renters get caught in. Unfortunately, these renters don't find out that their contents aren't covered until after a disaster has occurred. By then it's too late. Renters insurance can help protect your belongings and prevent you from having to replace your property at your expense. The inexpensive cost of renters insurance makes having it a no-brainer.

Exploring the basics of renters insurance

Over the coming days and weeks we will explore the world of renters insurance and why you need to have it. More importantly, we'll answer this question, "How much is renters insurance?" You'll be surprised at how affordable it is and wonder why tens of millions each year put themselves at risk by not carrying renters insurance.

Why is renters insurance important to me?

I'm a current homeowner who will likely need to get an apartment while working for an extended period of time away from my home. I've rented before so, naturally, one of the first things I reminded myself to do was to make sure I get renters insurance as soon as I get moved in. I've seen too many people lose everything because they didn't want to sacrifice a few dollars a month to cover their property. A lot of the time, the loss of their property was through no fault of their own. So, sit back, enjoy the content, leave a comment or two when you feel like it, and discover the answer to, "How Much Is Renters Insurance?" The answer may surprise you.