What You and Your College Student Should Know About Renters Insurance

What You and Your College Student Should Know About Renters Insurance

With the first weeks of the semester under their belts, college students are getting settled on campus, making new friends and finding their groove. While it may seem early, the time to sign leases for next year’s on- or off-campus housing is fast approaching, with many students across the country committing to future housing as early as October.

Whether scouting for their first apartment or planning for another year of dorm life, it’s important for any student to prepare for the unexpected, including learning how to protect their personal property. As daunting as it may seem, insurance is an important concept to understand, and it will help prepare students for their futures.

What kind of insurance coverage does a renters policy provide?
A student’s insurance needs will depend on their living situation and any existing insurance coverage held by their parents or guardians. For example, an existing insurance policy will likely extend some coverage for their personal property in the event of a loss for a student living in a dorm, but a student living in an apartment off campus with a signed lease should buy their own renters insurance policy. Here are the three main coverages of a renters policy:

- Personal property coverage: When an uncontrollable event like a fire occurs, a
renter’s policy can help your student get back on their feet and recoup the loss of items
like laptops, textbooks or other valuables.

- Liability coverage: Personal liability coverage comes into play if a student’s actions cause someone else’s injury. For example, if they leave a box on their apartment steps and someone trips and falls, there would need to be coverage for the injured party's medical expenses.

- Additional living expenses: If a fire burns down a student’s apartment building, they may need to stay in a hotel, eat out, or board a pet. This covers any necessary increases in living expenses while they are displaced because of a covered loss. These costs are covered until they can move back into their apartment.

An insurance agent can be a valuable resource when considering risks, liabilities and any
questions a parent or student may have about taking out a renters policy.

What exactly is covered by a parent’s existing homeowners policy?

While the typical college student has a variety of personal belongings, a typical homeowners’
policy held by you will only cover property away from home up to a limit of 10% of the
content coverage. For example, if a home is insured for $100,000, the contents coverage
would be $50,000. The coverage for a student away at college would be $5,000, minus the policy’s deductible, making it important to consider additional coverage for students living in a college dorm or apartment. An insurance agent can help determine the best plan of action to fit your specific needs.

How else can students keep themselves and their property safe?

Making smart and safe decisions goes a long way:

● Always lock your door when you leave your residence and check that it locked behind you.
● Be alert to your surroundings when you arrive home, especially at night.
● If you live in a dorm, follow your college’s rules on prohibited items. Skip the candle and hot plate and stick with safer options that aren’t a fire hazard.
● Take inventory of what you bring to college and check that you have everything accounted for every now and then. If there's an insurance claim, the burden of proof lies with the insured - having a list of your belongings can help in the long run if a problem were to occur.
● Use cable locks to secure your laptop. Cable locks can be attached to a computer and then attached to furniture to deter theft.
● Research locking/storage options for gaming consoles. It’s wise to ensure that these expensive items are secure.
● Keep expensive items at home to prevent theft and to keep you from misplacing them.

Making sure students have a general understanding about insurance can help them prepare for the unexpected and maintain focus on their education, no matter what happens. To learn more, visit www.thesilverlining.com.