Renters insurance: do you need it?

If you rent, your landlord's insurance covers the building — not your belongings and not your personal liability. Renters insurance (often called an HO-4 policy) fills that gap.

What renters insurance covers

• Personal property: your furniture, clothes, electronics and other belongings.
• Personal liability: if someone is hurt in your home or you accidentally damage someone else's property.
• Loss of use: extra living costs if your rental becomes unlivable after a covered loss.

Choosing your limits

Make a quick inventory of what you own to estimate how much personal property coverage you need. Ask whether the policy pays replacement cost or actual cash value.

Is it required?

No state law requires renters insurance, but many landlords require it in the lease.

Bundling with auto

Renters insurance can often be combined with an auto policy. Ask an agent to compare bundled and separate options.

This guide is for general information only and is not insurance or legal advice. Coverage, requirements and availability vary by state and insurer.