Moving from one apartment to another can be a little overwhelming, whether you’re breaking your lease or letting it expire. There’s plenty to consider, like packing and unpacking your belongings, scheduling movers, filling out change of address forms, and transferring services like gas, electric, and internet.
You might also ask, “What do I do with my renter’s insurance? Can my coverage move with me?”
Let’s explore why renters insurance is a smart idea and whether it’s possible to keep a renters insurance policy when you move from one apartment to another.
What is renters insurance?
When you’re renting an apartment, it’s super important to think about protecting your stuff — and renters insurance is like a month-to-month safety net, just for renters instead of homeowners.
Renters insurance gives you valuable coverage if something unexpected happens. Imagine there’s a leak in the apartment above yours, and water seeps into your living space, damaging your electric guitar. Or if a friend of a friend decides to borrow your laptop — permanently and without asking. Renters insurance can reimburse you for these types of losses.
While each policy is different, there are usually two common limitations you’ll come across. First, there’s often a cap on how much you can claim for each item. Second, there’s a maximum amount you can be reimbursed overall.
What renters insurance does — and doesn’t — cover
Renters insurance protects the stuff you keep inside your apartment and covers your responsibility if someone gets hurt while they’re in your place. It can also help with your temporary housing and moving expenses if something happens that makes you unable to stay in your rented home, like a fire.
Generally, a good renters insurance policy covers damage caused by theft, vandalism, fire, falling objects, freezing, water damage (except floods), smoke, tornadoes, windstorms, and hail. This isn’t a complete list, but it covers most bases.
What renters insurance doesn’t cover is — like homeowners insurance — floods and earthquakes. If you rent an apartment in areas prone to floods, earthquakes, or both, you’ll need additional insurance policies to stay protected.
So, is renters insurance transferable?
Now that we understand what renters insurance is and why it’s important, let’s explore whether a renters insurance policy can move with you when you get a new apartment.
Reach out!
Before anything else, it’s essential to give your insurance provider a heads-up so they know about your change in living situation. This allows them to look for options and guide you through the necessary steps. Forgetting to notify them could lead to gaps in coverage.
Location, location, location:
Insurance companies have specific coverage areas; if your new place is outside their coverage zone, you might be out of luck. For example, if you’re moving to a different city or state — or your next apartment is considered to be in a high-crime neighborhood — your current policy might not provide coverage. You may need to look for new insurance.
Be aware of insurance company T’s & C’s:
Some insurance providers let you transfer your coverage seamlessly, while others may require changes or suggest canceling and opening a new policy. Additionally, some providers may require prior notification within a specific timeframe before the move or have conditions on the type of security features needed in your new place to keep your policy valid. Read your policy carefully to know what to expect.
3 common methods for transferring a policy
When it comes to transferring a renters insurance policy, there are several common approaches:
- Policy Continuation: Some insurance companies allow policyholders to update their existing policy without significant changes, ensuring a seamless transition. The insurance company updates your policy to reflect the new address, and you continue to enjoy the same coverage without interruptions or needing to purchase a new one.
- Policy Endorsement: You may have the option to adjust your existing policy to reflect the changes in your new apartment. For example, suppose you’re moving to a larger apartment with a balcony that you plan to deck out with new patio furniture and an expensive grill. You might need to increase your coverage to protect it all.
- New policy purchase: If you’re moving to a different city or state not covered by your provider, transferring the policy won’t be an option, and you’ll want to get quotes from insurers serving your new location. If that’s the case, remember to contact your current insurer to cancel the old policy altogether.
Tips for before you move!
Too much stuff?
If you have a bunch of stuff like jewelry, books, computer gear, game consoles, or even your grandma’s china that you don’t really use anymore, think about having a yard sale to declutter. It’s a clever way to make some space and save money on insurance since you won’t have to worry about packing, shipping, or insuring things you don’t need.
Moving Stuff?
Renters insurance typically doesn’t cover your regular moving expenses. However, if your policy starts before the actual moving day, it may provide some coverage while in transit. For example, if your laptop gets damaged during the move, it may not be covered, but if it’s stolen from the moving van, it could be eligible for a claim.
Putting stuff in Storage?
Some renters insurance policies cover items in storage under “off-premises coverage.” But note that the coverage limits for stored items are usually lower than they’d be for the same items when in your actual apartment. Also, there might be a time limit for the coverage to apply, like only for a month after your move.
Your roommate’s stuff?
Most renters insurance covers family members, but not roommates. Adding a roommate as a co-applicant is possible with some providers, but it’s not ideal. It can be challenging to remove a roommate from a policy when they move out, and — because payouts would be issued in both names — it can complicate claims. For the best protection, we recommend all roommates get their own insurance.
We Can Help!
To make a smart choice, gather quotes from multiple insurance providers. First, list all the stuff you’re bringing to your new place to determine how much coverage you need. Don’t just focus on the price; check the coverage amounts and deductibles. Sometimes, paying more for a lower deductible and better coverage is worth it.
That’s where we can help. Guided Solutions simplifies getting a quote refresh by doing all the legwork for you! All we need is a little information to get started, and then we’ll show you personalized quote options that fit your current needs and budget.