Renters Insurance Basics: Cheap Protection Most Tenants Skip
By CompareRatesHQ Editorial Team · Updated August 2026
What it covers
- Personal property — your furniture, electronics, clothes and valuables, against theft, fire, and many other perils (flood and earthquake still excluded).
- Liability — legal and medical costs if a guest is injured in your unit or you accidentally damage someone else's property.
- Additional living expenses — a place to stay if a covered event makes your rental uninhabitable.
Why the landlord's policy isn't enough
Your landlord insures the building structure — not your possessions and not your liability. If a fire or burst pipe destroys your belongings, that's on you unless you have renters insurance. Many landlords now require it for exactly this reason.
Making it nearly free
Renters insurance is cheap on its own, and bundling it with your auto policy usually triggers a multi-policy discount that can offset a big chunk of the cost. Choose replacement-cost coverage (not actual-cash-value) so you're paid enough to actually rebuy your things, and set a limit that reflects what your belongings are really worth.
Frequently asked questions
Does my landlord's insurance cover my belongings?
No — it covers the building. Your possessions and your liability are only covered by your own renters policy.
How much is renters insurance?
Often just $10–20 a month, and bundling with auto can offset much of that through a multi-policy discount.