Renters insurance for $300,000 of liability coverage and $40,000 of personal property coverage averages $29 per month or $347 per year, according to 2022 data from insurance.com .
It’s a bargain for the protection you get. Your landlord’s insurance policy protects them, not you. Renters insurance is the only way to get coverage in case your personal property is damaged or stolen, and it also protects you from lawsuits.
In addition to that, it will cover hotel costs if you are unable to live in your home during repairs on a covered claim with additional living expenses coverage.
Read on to find out how much you can expect to pay for renters insurance, get a renters insurance quote for your own needs, and learn more about how renters insurance works.
what is the average cost of renters insurance?
The average cost of renters insurance is $347 a year, or about $29 a month. That’s the national average rate for a policy with coverage levels of $40,000 for personal property coverage , with a $1,000 deductible and $300,000 of liability protection, based on insurance.com’s 2022 rate analysis. but that’s just a set of coverage limits.
Renters insurance rates go up as coverage increases, but it depends on the type of coverage. For example, you can increase your liability to $300,000 for just $1 more per month on average, while adding additional property coverage costs a bit more.
renters insurance costs at a glance
renters insurance cost calculator
What you pay for renters insurance will depend on factors like your credit history, where you live, and the amount of coverage you need. Whether you need apartment insurance or renters insurance for a single-family home, calculating the cost of renters insurance is easy. The renters insurance calculator below will tell you the most and least expensive zip codes in your state.
To get a personalized renters insurance quote, enter your zip code and choose a personal property, deductible, and liability limit.
How much does renters insurance cost in each state?
The cost of renters insurance by state varies widely just like any other insurance policy. Compared to the national average of $347 for apartment renters insurance, South Carolina, Louisiana, and Rhode Island are the most expensive, at between $439 and $540 a year. wisconsin is the cheapest, at about $196 a year.
These are the average rental insurance costs by state based on the most recent data from insurance.com, so you have an idea of what to expect. rates are for common coverage levels of: $20,000, $40,000 and $60,000 personal property coverage, with $100,000 and $300,000 limits of liability, all with a $1,000 deductible.
renters insurance cost by state
how much does renters insurance cost per month?
Renters insurance starts at less than $20 a month, depending on your coverage amounts. Here are monthly renters insurance quotes for common coverage levels:
Which company has the cheapest renters insurance?
The company that offers you the cheapest rates will depend on where you live and your particular renter profile, as well as how much coverage you buy.
The cheapest renters insurance, based on 2022 data from insurance.com, is vermont mutual at $123 a year for $40,000 in property coverage with $100,000 in liability. however, that company does not operate everywhere. the cheapest major insurance company is amica mutual at $173 a year.
renters insurance cost per company
Renters insurance rates vary by company, just as they do from state to state. The table below shows the cost of renters insurance by company, both for large national companies and some smaller ones. As you can see, the larger companies don’t always have the best deal on renters insurance; however, smaller companies may not be available in all areas.
First, here’s a look at the top renters insurance companies operating nationwide for $40,000 property coverage/$100,000 liability, from respondents:
how to get a renters insurance quote
To get the right coverage at the best price, prepare before you buy with the following steps:
- Create an inventory of your personal items. List the items and their purchase price. While expensive items are important to consider, don’t forget things like bedding, dishes, and clothing; the cost of replacing them can really add up. this total is what you need for personal property coverage.
- Opt for the replacement value of your personal items. Here’s why: Replacement policies cover the actual replacement cost of your possessions rather than a depreciated value. that means your 10-year-old TV is insured at the cost of buying a new TV.
- choose a deductible. deductibles generally range from $500 to $2,500. this is the amount you pay before your policy goes into effect to pay for the repair or replacement of your belongings. The higher your deductible, the lower your rate, but the trade-off is that you must pay that amount when you file a claim before your policy pays out. For most renters, a $500 or $1,000 deductible on apartment rental insurance is recommended.
- Decide how much liability insurance you want. Liability insurance protects you if you are responsible for injury or damage, and will even provide legal assistance if you are sued. $100,000 is the common option for renters insurance, but it costs very little to triple the protection to $300,000.
- Compare quotes. Be sure to compare renters insurance quotes from multiple companies to compare renters insurance rates. use the same coverage levels for each quote so you can be sure to compare apples to apples. remember to check the ratings of the companies: the cheapest is not always the best.
how much does renters insurance cost for an apartment?
The average cost of renters insurance for an apartment is $29 a month or $347 a year. There are a few things that affect your rates, including:
- where you live. some areas have higher rates due to weather or crime rates.
- level of coverage. the amount of coverage you buy will affect what you pay.
- Your deductible. The higher your deductible, the lower your rate.
- clauses and endorsements. Some personal property, like jewelry or art, require a rider that increases your renters insurance premium.
- Your insurance company. Rates can vary widely by company, so it’s worth shopping around.
- Your credit history. Insurance companies also look at your credit history and it can affect how much you pay.
- $20,000 property/$100,000 liability: $241
- $40,000 property/$100,000 liability: $329
- $60,000 property/$100,000 liability: $414
- $20,000 property/$300,000 liability: $260
- $40,000 property/$300,000 liability: $347
- $60,000 property/$300,000 liability: $437
how much is renters insurance for $100,000 in liability coverage?
Here’s how $100,000 renters insurance policies compare to $300,000 renters insurance policies. You’ll find that when you increase your liability coverage, the cost of apartment insurance is minimal. These renters insurance prices have a $1,000 deductible:
how much is renters insurance for $300,000 liability coverage?
renters insurance costs for three stages of life
Whether you need apartment renters insurance for your first place or you’re renting a home with your family, renters’ needs vary across life stages. Below we’ve provided advice for each state, compiled from sources including the Insurance Information Institute, United Policyholders (a consumer group), and William F. Harris, an independent insurance agent in Los Angeles.
minimum renters insurance coverage
If you’re a college student living off campus, or in your first apartment and don’t have many valuable possessions or other assets, the basics will probably be fine. $12,000 minimum personal property coverage with $100,000 of liability and a $500 deductible costs about $100 a year.
increasing the personal property limits of $20,000 increases the fee to $280 a year. a $1,000 deductible reduces it by $260 a year, but it may not be worth it if you have a claim.
Keep in mind, though, that the average person has at least $35,000 in property, according to state farm. many other insurance companies echo this, saying that a typical renter with a two-bedroom apartment has about $35,000 in personal belongings.
Mid-Level Renters Insurance Coverage
For a young family that has acquired more things, a policy with at least $50,000 in property coverage and $100,000 or more in liability protection is recommended. In general, for every additional $10,000 of personal property coverage you have, your premium could increase by $20 to $25. In addition, insurers suggest increasing the liability to $300,000 in many cases, which could increase your premium by $50 or more a year.
Renters often increase the deductible to $1,000 while increasing property coverage to $50,000 or $60,000. the higher deductible helps prevent the premium from rising significantly. for example, the national average renters rate for $60,000 in property coverage, a $1,000 deductible, and $100,000 in liability is $414, or nearly $34 a month. increasing liability to $300,000 is a minor increase of only about $2 per month.
higher coverage limits for renters insurance
If you’re renting a large home and have a lot of personal property, you may need more coverage. As the amount of personal property coverage increases, the rates will increase. To make sure you’re properly protected, make sure you have an accurate inventory of your belongings.
Although insurers recommend $300,000 in liability protection for most people, you probably want higher limits if you have a lot of savings or other valuable assets. You may want to purchase an umbrella policy, which typically provides $1 million in coverage that pays once your liability benefits are exhausted.
Are there renters insurance endorsements for high value items?
A standard renters insurance policy includes coverage for jewelry and other high-value items (furs, watches, and collectibles, among other items). But there are limits on how much your policy covers, which is specified in the contract. For example, the Insurance Information Institute (III) notes that in a typical policy, stolen jewelry is only covered up to $1,500.
Like homeowners insurance endorsements, renters insurance offers endorsements (or riders) for high-value items. You will need an appraisal to prove the value of each item.
“These valuable items must be ‘scheduled,’ which means a separate (endorsement) policy for each item,” explains iii spokeswoman lynne mccristian. “For example, jewelry insurance is about one to two percent of the item’s value, so insuring a $50,000 diamond ring could cost $500 to $1,000 a year.”
adds that “you have the opportunity to select which deductible works best for you and your budget, and the higher the deductible amount, the lower the cost of your policy (for the endorsement), but it does mean you’ll pay more.” “. out of pocket if you have a loss.”
renters insurance: the bottom line
As we’ve made clear, the cost of renters insurance depends on a few factors, including how much coverage you need and where you live. you can expect to pay around $29 a month for a basic policy.
Because renters insurance rates don’t go up much when you increase coverage, it’s always better to overestimate your needs than to find yourself underinsured. And because rates vary by company, you may be able to get more coverage from one insurer for the same price as a lower-coverage policy from another. shop around and compare companies to find the best coverage at the best price.