College Kid - Renter's Insurance

Every College Student (and Parent) Should Research More About Renter’s Insurance

If you’re like many college students (or their parents), you might assume that renter’s insurance provided by your apartment (i.e. included in your lease) protects all your personal belongings or that it isn't necessary for a dorm. Unfortunately, that’s not always the case, and learning the hard way can be expensive.

Dorm Life

Yes, you can get renter's insurance on your child's dorm. The first thing to consider is what is the value of your child's belongings v the cost of the insurance. Most of the time the cost of the insurance is minimal. What if there were a fire and the student lost everything? After all, that's the point of insurance. Would it be worth it to protect their items for $100 a year? This is a personal decision but one worth researching with your insurance agent. Honestly, we did not get renter's insurance on the freshmen year in the dorm. However, the more I learn about this topic, it was probably neglectful that we didn't. Renter's insurance is a minimal cost.

What I Recently Learned About Renter’s Insurance

When helping my student move into his first apartment, I discovered something surprising: many apartment complexes, like his, charge a monthly renter’s insurance fee—$12.95 in our case ($155/year), but it doesn’t cover any of your personal property. That fee only fulfills the liability insurance requirement, which protects the apartment owner, not your belongings.

Here’s the good news: if you purchase your own renter’s insurance policy that includes the required $100,000 liability coverage, you can usually opt out of the complexes monthly charge, saving money and getting better coverage.

Real-Life Numbers: Better Coverage for Less Money

We got a standalone renter’s insurance policy with:

• $10,000 in personal property coverage

• $100,000 in liability coverage (required by the apartment complex)

• A $500 deductible

All of that cost just $112 for the entire year, that’s less than $10/month. This policy covers important risks like fire, water damage from pipes & leaks (not hurricanes), and theft. Most importantly, it actually protects your stuff -- think laptops, clothes, electronics, and more. The apartment insurance wasn't going to do this and it was more money.

A Quick Note on Adding Renters to Your Homeowner's Policy

Some families consider adding their college student's apartment to their homeowner's insurance. While this might seem convenient, keep in mind: any claims would go against your homeowner’s policy, which could lead to higher premiums. A separate renter’s policy avoids that risk. Putting the policy in your child's name helps to separate this and protects your homeowner's policy from being impacted. Talk to your insurance agent as they would be the expert.

Don’t Assume! Ask Questions!

I assumed my student’s belongings were protected under the apartment’s insurance. That could have been a costly misconception. If you're in the same boat, take the time to check your lease and ask questions. I repeat, ask the questions! Call the front office and inquire. Even better, send an email and get it in writing.

We used a State Farm agent who can write in Florida and Georgia. If you want a quick quote for Florida or Georgia, I suggest calling David or Nikki at 904-379-4156. But if you have your own agent, start there. Never would I have imagined that my son's renter's insurance did not include personal property. Now, he is covered. Of course, we hope we never have to submit a claim.