Question on Renters Insurance (1 Viewer)

[Pamela]

After reading about horror stories and close-calls on this board, I've decided to heed the advice and get renter's insurance. I checked with Farmer's Insurance today, and for $40,000 coverage (everything but earthquake, at today's replacement costs) it'll cost me a little over $400 a year. I have a one bedroom apartment, but it's filled with HT gear, computer stuff and loads of shoes! I paid around $25 years ago for $20,000 coverage with State Farm.
Given the area I live in, does this sound high? I am going to check with some other agents, but I don't think I'm going to find it that much cheaper. Also, should I go with less than 40,000? You know, shoes are mighty expensive and they really add up! Do you know how hard it would be to find replacements for my cute Franco Sartos?

 

[Joe Tilley]

To me that would sound about right,I pay around 230 a year for 30000 coverage.

 

[Philip_G]

I dunno what my coverage is, but I'm paying like 150 a year with SF, so it's probably less than 20k

 

[Max Leung]

Yikes, that sounds pretty high. You must live in a tough neighborhood.
I would've guessed $250. I believe it would cost me $200 for $60,000 coverage (I have $40,000 currently for $150). This is in canuckbucks, however.

 

[Alex Spindler]

I just got mine for ~$190 for $20,000. However, State Farm just dropped Renters and Homeowners insurance (although they are keeping existing contracts). Apprently in this state it is very unprofitable with the current economic climate. I had to get mine from Farmers.

 

[David Lawson]

$10K coverage costs me $110/year through State Farm. I don't think I need much more than that, and I'm not really worried about people being able to carry off anything of substance from a 12-story building downtown.

 

[Jack Briggs]

You must live in a tough neighborhood.

It's the city itself, Max. Everything is more expensive here. And, so, renters' insurance doesn't cover earthquake damage. What does then?

As for shoes, I would be the opposite of this thread's originator. I buy a couple of pairs a year and wear them out. Not worth insuring. But the WEGA is.

 

[Bill Slack]

That seems expensive. Is there no, or very low deductible? I pay around $140/yr for $25-$30k of coverage.

I don't live in the city, but I don't live in the greatest section of town either, and am very close to the city (I'm on the Watertown/Netwon/Waltham line, for any locals, wondering.)

But my deductible is $500 (or maybe $250?)

My coverage is for the whole thing (theft, fire, and liability.)

 

[Pamela]

That seems expensive. Is there no, or very low deductible?

It does seem high to me, but I expect that here. Everything is so high. I might drop the coverage to 30,000. I think the deductible is $500. It's the blond in me. I don't think I asked.
I'll check out some others. The good news is my mom said she'd pay the first year's premium. I have the bestest mom in the whole wide world!

 

[Max Leung]

Wow, you LA folks should move to a different state.
Just kidding...I forgot about the inevitable earthquake deal! If it weren't for those darn scientists, you wouldn't have this problem!
That's pretty cool Pam! You must be pretty tough to get your mom to premptively pay your fee!

 

[Alex Spindler]

Earthquake usually costs an additional fee, and I would imagine it would be astronomical in california. By comparison, flood isn't covered by anyones and you have to get it from a national flood insurance carrier, which apparently is very very expensive.

 

[Bill Slack]

I can't imagine flood insurance would cost much in LA.

It would be quite the racket, if it did!

 

[Tim Abbott]

Make sure to ask specifically what the policy covers. I had renters insurance in college, and I nearly got screwed. There was some very heavy rain for a couple of days and the town sewer line backed up. Turns out that my policy didn't cover external flooding (I know, how stupid is that), but only internal things (broken pipe, hot water heater, etc.) Fortunately the town was at fault and they paid up without a lawsuit or anything.
It just goes to show you, read it carefully and ask lots of questions. My coverage was $75 for $10K worth of stuff (a year and a half ago, so it may be more expensive now).
Its definitely a good investment, if you get the right coverage

 

[Keith Mickunas]

Flood coverage is usually (always?) extra, as I recently found out while getting insurance for my house.

$400 seems high to me, but then I'm with USAA which usually is cheaper than most. I've got $50k personal property, $5k for personal property not at my place (i.e. in the car or at someone elses house), personal liability of $100k, $10k loss of use, $100 deductible, and replacement cost all for $200 a year.

 

[Jack Briggs]

Bill: You'd be surprised. Normally, January and February are the "wet months" in Southern California--and there was serious flooding here back in 1992. Now, that's certainly not a problem this year--Los Angeles has only had an inch and half of rain all year long. And the brush fires are all the worse because of that. JB

 

[Max Knight]

I pay around $500 a year for $50K worth of coverage, including coverage for my wife's engagement ring. I've got a $250 deductible. This is for a not so great part of Brooklyn NYC. I'm using State Farm.

The numbers you are looking at are high, but not astronomical. I would go for it.

I also feel the need to insure my shoes (my big weakness beyond HT gear). We can't leave the Prada out in the cold!

 

[JasenP]

I would double check the "fine print" before getting a policy. Mine isn't a blanket policy, it is actually broken down into sections.
Personal computer equipment is covered up to $XXXX.XX
Audio/Video Equipment is covered up to $XXXX.XX
Etc.. Etc..
Mine also covers items in my car were they to be damaged or stolen and in case of unsuitable living conditions due to fire etc.., I get an allowance for food and hotel.