(NEW YORK) — Most responsible people wouldn’t think of driving a car without car insurance, but many of those same people rent a home without renter’s insurance.
A new survey commissioned by InsuranceQuotes.com found that only 34 percent of American renters have renter’s insurance.
The average renter’s policy costs just $185 a year, according to the National Association of Insurance Commissioners. So why don’t more people get renter’s insurance?
The InsuranceQuotes.com survey found that 60 percent believed renter’s insurance must cost $250 a year or more and 21 percent guessed it would cost a painful $1,000 or more.
“Renter’s insurance is a lot more affordable than most people think,” said Laura Adams, senior insurance analyst for InsuranceQuotes.com. “Most renters don’t realize that their landlord’s insurance usually only covers the structure and not the renter’s belongings.”
For $15 a month or so, renters can be protected from theft, fire, water damage and more. Many renters’ policies even include replacement housing if you have to live somewhere else while your place is fixed.
As with homeowner’s insurance policies, flood and earthquake coverage are not included. And you’ll have to pay extra to insure valuables like pricy jewelry and expensive electronics.
Copyright 2013 ABC News Radio
Brian Stelter, CNN Money
Chandra Johnson, Deseret News