Tenant insurance is one of the least expensive insurance products out there. It’s less expensive than homeowners’ insurance while offering “similar” coverage (save the fact that tenant insurance won’t actually insure the physical building, since you don’t own it and that responsibility falls to your landlord) and it can be hugely beneficial in times of crisis. As a bonus, it’s typically less than $30/month – so nothing more than a few takeout coffees a week for a month or a subscription service.

But, being that it’s something people aren’t required to purchase, it often gets overlooked. And if you’re thinking, “oh, but nothing will ever happen to me,” or “but my belongings aren’t that expensive,” then you’re probably dead wrong.

To begin, we’d like to tell you a little story…

Why is having tenant insurance important?

Recently, an individual purchased a 16-unit apartment building. This was a few months ago. Unfortunately, the roof of the  building caught on fire after a contract had finished some work. It wasn’t made certain whether the fire broke out due to negligence, and the cause has still not been found.

Firemen quickly arrived at the scene to put out the flames. Unfortunately, the massive amounts of water they used to spray on the roof caused further, major water damage to all the floors in the building, which inevitably caused the insurance company to declare the property a total loss.

No one was injured, thankfully. The landlord had suggested to all the tenants to carry tenant insurance upon purchasing the building (as in Quebec, it’s not mandatory to carry it) but none of them opted to do so. This meant that none of their personal belongings were insured, and everything was lost.

LMBF cares about your peace-of-mind and wants you to feel you have a backup plan. Tenant insurance is a great way to protect you and your possessions in the event of unforeseen damages caused by third parties. It also protects your liability and may offer additional living expenses if a situation like this ever occurs where you find yourself without a place to live for a little while.

But what if my belongings aren’t that expensive to replace?

Many people hesitate to purchase tenant insurance because they feel that their belongings aren’t that expensive and would be cheaper to replace on your own dime. Well, that’s not actually true all the time. Consider taking a home inventory. Go around your apartment or unit and list everything you own. Calculate their total value. It’s probably a lot more than you’d think. Moreover, tenant insurance is inexpensive – it’ll pay for itself a dozen times over in the event of a loss, such as the one detailed in the story told above. You can purchase different levels of coverage for different prices.

Tenant insurance isn’t just for your possessions, either. Say a visitor was attending your property, and your dog unexpectedly bit them – despite never having bit anyone ever before. They sue you for their loss of income and medical bills. In an instance like this, so long as your dog wasn’t a blacklisted breed, you’d have those liability costs covered. A part of tenant insurance is liability coverage.

You can also include additional coverages, such as additional living expenses. Some standard policies will include this coverage option. LMBF is more than happy to work with you one-on-one to determine your tenant insurance coverage needs. We’ll help you address the level of coverage you need for your possessions and liability, as well as what your policy details and what is excluded.

But what if I don’t want to spend any extra money?

Insurance doesn’t come free – that’s just a fact of life. But did you know that tenant insurance is one of the most inexpensive forms of insurance you can buy? Think of it like this.

Two takeaway coffees a week = roughly $5-$10. For four weeks, that costs you around $20-$40. Most tenant insurance policies range between $15-$30/month! Next to your daily expenses, tenant’s insurance is negligible, and it offers huge protection for its costs.

To get reduced tenant insurance rates, you might:

• Raise your deductible
• Bundle multiple policies
• Ask about discounts
• Cut coverage on older items
• Work with a broker

Overall, tenant insurance can cost you very little each month. Once you’ve purchased it, you’ll have coverage for your personal possessions, your liability, and even coverage for your additional living expenses, if something happens where you’re forced to evacuate your unit temporarily and need alternative living arrangements.

Key takeaways

Here are the main reasons you should carry tenant insurance as a renter:

• It’s one of the most affordable insurance policies out there
• It can cover losses to your personal property
• You may be required to carry it in your lease
• It can cover additional living expenses
• It extends coverage to your belongings wherever you are in the world
• It offers liability coverage

If you aren’t convinced, discuss with an LMBF broker. We can get you inexpensive renter’s insurance in Quebec – no issue. Give us a call today or apply for a quote.