Renters Insurance Claims
In 2003 I went on a business trip to California. Two other employees, Debbie and Sherry, went with me to work at a manufacturing company to sell Universal Life Insurance. We had checked on-line for an affordable hotel, but their rates were too high for our expense budget, so we opted for a furnished apartment. Under the contract of the apartments short term lease, we had to purchase a Renters Insurance policy. The Renters Insurance policy would not only cover our property and the contents for theft, but would also provide liability in case we caused any damage.
We called Nationwide, State Farm, Geico along with a few local insurance agencies to get quotes. State Farm had the most affordable insurance, so we signed the contract and paid a one months premium.
One day when Debbie finished getting ready she shut the bathroom door and accidentally had locked it. Under the liability section a lock smith was covered without a deductible. The liability section claims it will provide coverage for bodily injury or property damage which you or an insured under the policy are legally obligated to pay. Since she actually hadn't caused any "damage" we called the companies claims department and verified that this incident would be covered.
One of the reasons we liked the apartment it had waterbeds, a nice change from your ordinary hotel bed. Unfortunately, a few days later, Sherry was using a knife to peel an apple and stuck the waterbed causing a slight leak. When we had taken out the Renters Insurance policy we asked the agent about an endorsement to cover waterbeds. Luckily the waterbed was repairable, so not only did we have a repair bill, we also had some minor water damage. The coverage was provided under; Optional Endorsements you may request for your policy.
Extension of Liability Coverage Endorsement-Waterbeds
The optional coverage pays for damage to property of others that results from sudden and accidental discharge of water from a waterbed. It does not pay for structural damage which may result from the weight or slow, gradual leakage or damage to the waterbed itself.
I am sure glad we looked over the renters insurance contract before we purchased it. Other coverages that were included, but subject to a deductible were:
Personal Property Coverage:
Your policy will pay for the loss or damage to your personal property when caused by the perils listed below:
1. Fire or Lightning 2. Windstorm or Hail 3. Explosion 4. Riot or Civil Commotion 5. Aircraft 6. Vehicles 7. Smoke 8. Vandalism or malicious mischief 9. Burglary 10. Falling objects 11. Weight of ice, snow or sleet 12. Accidental discharge or overflow of water or steam from within a plumbing, heating, air conditioning, or automatic fire protective sprinkler or from within a household appliance 13. Sudden and accidental tearing apart, cracking, burning, or bulging of a steam or hot water heating system, and air conditioning system, or an appliance for heating water. 14. Freezing of plumbing, heating, and air conditioning systems or automatic fire protective sprinkler system or of a household appliance. 15. Sudden and accidental damage from artificially generated electrical current 16. Volcanic eruption
Remember to add the Replacement Cost endorsement to your Renters Insurance policy.
Personal Property Replacement Cost Endorsement;
The Declarations Page states under Additional Coverages that your policy has Replacement Value coverage.
Without acquiring this endorsment your personal property will be subject to Actual Cash Value (ACV) for a covered loss. ACV means the cost to replace an item with another item of similar kind and quality less an allowance for depreciation.
Replacement Cost (RC) coverage will pay for the loss at full cost to repair or replace the damaged item. RC is only paid when you purchase the replacement item within 180 days after the loss.
Loss of Use;
If you must temporarily live elsewhere because you cannot live in your home as a result of a covered loss, this coverage pays for a specified period of time for reasonable and necessary extra living expenses you incur over what you would normally spend to maintain your standard of living as if no loss has occurred.
With any policy there will be exclusions you should read when you get your renters insurance policy. I am so glad we purchased one for our trip. to California. I can't imagine what our boss would of said if we had turned in our claims with our expense report. Our renters insurance policy probably saved our jobs. - 20762
We called Nationwide, State Farm, Geico along with a few local insurance agencies to get quotes. State Farm had the most affordable insurance, so we signed the contract and paid a one months premium.
One day when Debbie finished getting ready she shut the bathroom door and accidentally had locked it. Under the liability section a lock smith was covered without a deductible. The liability section claims it will provide coverage for bodily injury or property damage which you or an insured under the policy are legally obligated to pay. Since she actually hadn't caused any "damage" we called the companies claims department and verified that this incident would be covered.
One of the reasons we liked the apartment it had waterbeds, a nice change from your ordinary hotel bed. Unfortunately, a few days later, Sherry was using a knife to peel an apple and stuck the waterbed causing a slight leak. When we had taken out the Renters Insurance policy we asked the agent about an endorsement to cover waterbeds. Luckily the waterbed was repairable, so not only did we have a repair bill, we also had some minor water damage. The coverage was provided under; Optional Endorsements you may request for your policy.
Extension of Liability Coverage Endorsement-Waterbeds
The optional coverage pays for damage to property of others that results from sudden and accidental discharge of water from a waterbed. It does not pay for structural damage which may result from the weight or slow, gradual leakage or damage to the waterbed itself.
I am sure glad we looked over the renters insurance contract before we purchased it. Other coverages that were included, but subject to a deductible were:
Personal Property Coverage:
Your policy will pay for the loss or damage to your personal property when caused by the perils listed below:
1. Fire or Lightning 2. Windstorm or Hail 3. Explosion 4. Riot or Civil Commotion 5. Aircraft 6. Vehicles 7. Smoke 8. Vandalism or malicious mischief 9. Burglary 10. Falling objects 11. Weight of ice, snow or sleet 12. Accidental discharge or overflow of water or steam from within a plumbing, heating, air conditioning, or automatic fire protective sprinkler or from within a household appliance 13. Sudden and accidental tearing apart, cracking, burning, or bulging of a steam or hot water heating system, and air conditioning system, or an appliance for heating water. 14. Freezing of plumbing, heating, and air conditioning systems or automatic fire protective sprinkler system or of a household appliance. 15. Sudden and accidental damage from artificially generated electrical current 16. Volcanic eruption
Remember to add the Replacement Cost endorsement to your Renters Insurance policy.
Personal Property Replacement Cost Endorsement;
The Declarations Page states under Additional Coverages that your policy has Replacement Value coverage.
Without acquiring this endorsment your personal property will be subject to Actual Cash Value (ACV) for a covered loss. ACV means the cost to replace an item with another item of similar kind and quality less an allowance for depreciation.
Replacement Cost (RC) coverage will pay for the loss at full cost to repair or replace the damaged item. RC is only paid when you purchase the replacement item within 180 days after the loss.
Loss of Use;
If you must temporarily live elsewhere because you cannot live in your home as a result of a covered loss, this coverage pays for a specified period of time for reasonable and necessary extra living expenses you incur over what you would normally spend to maintain your standard of living as if no loss has occurred.
With any policy there will be exclusions you should read when you get your renters insurance policy. I am so glad we purchased one for our trip. to California. I can't imagine what our boss would of said if we had turned in our claims with our expense report. Our renters insurance policy probably saved our jobs. - 20762
About the Author:
Kitty M Kat is a licensed Insurance Agent and has been selling Affordable Insurance for the past 22 years. Along with Renters Insurance she has experience about Homeowners, Automobile Insurance, Commercial Property & Casualty and Liability Insurance and Life Insurance. For additional Information see her Insurance for Blondes website.
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