Do College Students Need Renters Insurance?
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In some cases students are already covered, but others may need additional insurance.
Today’s students travel to college with more high-price possessions than ever before. The value of electronics like smartphones, laptops, digital cameras, gaming systems, bikes and other equipment can easily add up to $5,000 or more. While there’s a low probability of anything happening to your student’s belongings, having insurance can bring parents and students peace of mind.
Your college student may already be covered
Many homeowners policies cover children listed as dependents living on campus at no extra cost to parents. Plus, homeowners policies often provide liability coverage if your student injures someone or accidentally causes property damage. However, property coverage is often limited to 10% of your content limits and only applies if your child is a full-time student under age 24 and lives in campus housing.
Which students need renters insurance?
There are several scenarios where students can benefit from, or be required, to carry renters insurance.
First, students living on campus and who are covered by their parents’ homeowners policy need additional coverage if the value of their belongings exceeds policy limits. Parents may increase limits or add an endorsement to their homeowners policy or the student may get a separate renters insurance policy.
Another group of students who benefit from renters insurance are those renting an apartment or house not owned by the school and, therefore, have no coverage under their parent’s homeowners policy.
Lastly, students may be required by their landlord to have renters insurance. Some apartment leases require renters to carry additional property damage and name the apartment owner as an insured party on the policy.
What’s covered under renters insurance
Renters insurance provides protection against financial losses due to:
- Loss or damage of personal property
- Personal liability and legal expenses incurred if someone is injured or if property is accidentally damaged
- Living expenses if the rented home becomes uninhabitable
- Medical costs of guests injured at the rented home
How you can save on renters insurance for college students
If you get renters insurance from the same insurer you use for your homeowners and auto insurance, multi-policy discounts are usually available.
How much does renters insurance cost?
The cost of renters insurance depends on several factors, including the state where your child goes to school and the coverage limits chosen. On average, renters insurance is typically less than $200 year.
Whether your student is covered by your homeowners insurance or their own renters insurance, it’s wise to have a savings account to cover minor losses and insurance deductibles if you need to make an insurance claim.
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