Does Your Geico Insurance Cover Your New Apartment?

If you're renting an apartment, you'll want to make sure your belongings are protected in case of theft or damage. While your landlord's insurance policy covers the building, it doesn't cover your personal items. Renters insurance is an affordable way to protect your possessions, and GEICO offers a range of options to suit your needs. You can also bundle renters insurance with your GEICO auto insurance policy to save money. So, how much does it cost to add apartment insurance to your auto insurance with GEICO? Well, it depends on the coverage you choose and the deductibles you select. The good news is that renters insurance through GEICO can cost as little as $12 per month.

Discounts for bundling renters and auto insurance

Bundling renters and auto insurance is a popular way to save money on insurance premiums. Most insurance companies offer discounted rates to customers who purchase multiple types of policies, and while renters insurance bundling discounts are typically smaller than discounts for bundling home and auto insurance, even a small reduction could positively impact your budget.

According to ValuePenguin, Geico has the cheapest rate for bundling auto and renters insurance, at $91 per month. State Farm offers the best discount for bundling, at 4.7%, which could save you $108 per year.

US News reports that bundling renters and auto insurance can lower your total insurance costs and streamline your policy management. They also note that bundling is a sales and marketing strategy used by insurance companies to convince you to consolidate all of your insurance business in one place.

Bankrate notes that bundling renters and auto insurance can help you get more affordable insurance rates. In exchange for having multiple policies insured with a provider, most companies offer a bundling discount, also referred to as a multi-policy discount.

The Zebra reports that bundling car insurance and renters insurance with the same company saves policyholders an average of 5%. They also note that bundling is a convenient way to manage all of your policies with one company.

Liberty Mutual advertises that customers can save by bundling auto and renters insurance with them. They also offer bundling discounts when customers combine auto insurance with other products like home, condo, motorcycle, and more.

Renters insurance for college students

Renters insurance is an important consideration for college students, especially those living away from home for the first time. While it may not be required by law or your college, it can provide peace of mind and financial protection in the event of theft, property damage, or accidents. Here's a comprehensive guide to renters insurance for college students:

Renters insurance is not mandatory for college students, especially if they live in dorms. In most cases, colleges and universities are not responsible for damage or theft of personal belongings. However, if you live off-campus, your landlord may require you to have renters insurance as part of your lease agreement. Additionally, if your parents have homeowners insurance that extends to your belongings at school, you may already have some coverage. It's important to check the specifics of their policy, as coverage for off-campus residences may be limited.

Renters insurance provides coverage for personal property, liability, and additional living expenses.

• Personal Property Coverage: This protects your belongings, such as electronics, clothing, furniture, jewellery, and bicycles, from theft, damage, or loss. It covers incidents like accidental water discharge, burning, cracking, and damage due to short circuiting.
• Liability Coverage: This covers accidental injuries and property damage caused by you to others. For example, if you accidentally damage a neighbour's property, your renters insurance will cover the costs.
• Medical Payment Coverage: This covers minor medical claims for injuries that occur on your property. For instance, if a guest cuts themselves in your apartment, your medical payments coverage can pay for their urgent care.
• Additional Living Expenses Coverage: If you can't live in your dorm or apartment due to a covered incident, such as a fire, this coverage will pay for extra costs like hotel stays and meals.

It's important to understand that renters insurance doesn't cover certain situations. These include accidents in common areas, damage caused by earthquakes, floods, or landslides, and pet damage to your belongings or home. Any damage to the building itself is typically covered by your landlord's insurance.

The cost of renters insurance will depend on various factors, including the location of your residence, the value of your belongings, and the level of coverage you choose. On average, renters insurance costs around $14 a month for $15,000 worth of personal property coverage, including $100,000 in liability coverage and $1,000 in medical payments coverage.

How to Get Renters Insurance as a College Student:

To get renters insurance, follow these steps:

• Calculate your coverage needs: Create an inventory of your belongings, including descriptions, estimated values, purchase dates, and receipts. This will help you determine the appropriate level of personal property coverage.
• Identify insurance companies: Start with companies you're already familiar with, such as your car insurance provider, as you may get a bundling discount.
• Compare quotes: Get quotes from multiple insurers, ensuring you're comparing the same coverage levels for an accurate picture.
• Pick a company and apply: Consider your priorities, whether it's affordability or special coverage and perks.

Renters insurance provides valuable protection for college students at a relatively low cost. Here are some reasons why it's worth considering:

• It's cheaper than replacing your belongings.
• It covers accidental property damage, injuries to others, and minor injuries.
• It pays for temporary housing if your residence becomes uninhabitable due to a covered incident.
• Your landlord's insurance won't cover your personal items or temporary housing.

Recommended Renters Insurance Companies for College Students:

When choosing a renters insurance company, consider factors like coverage area, coverage options, cost, and customer experience. Here are some recommended companies:

• State Farm: Offers coverage in 49 states, high personal liability coverage, and a strong financial strength rating.
• Allstate: Available in 49 states, provides a wide range of deductible options, and offers informative online resources for renters.
• Farmers Insurance: Provides high personal liability coverage and extended loss of use coverage for up to 24 months.
• Lemonade: Known for low insurance premiums, instant claim approval through its AI platform, and charitable donations of unclaimed premiums.

Final Thoughts:

While renters insurance is not mandatory, it can provide valuable protection for college students. Consider your living situation, the value of your belongings, and your budget when deciding whether to purchase renters insurance. Remember to shop around, compare quotes, and choose a reputable company that meets your specific needs.

How to save money on renters insurance

Renters insurance is relatively inexpensive, costing between $12 and $30 per month on average. However, there are several ways to save money on renters insurance:

• Bundling with auto insurance: Bundling renters and auto insurance can lower your total insurance costs. You can find the best deals by comparing insurance bundle quotes from several companies, ensuring that you select the same coverage and input the same details for an accurate comparison.
• Choosing a higher deductible: Opting for a higher deductible, which is the amount you pay out of pocket when you file a claim, can lower your monthly premiums. For example, raising the deductible from $500 to $1,000 could result in a 25% reduction in your premium.
• Safety and security devices: Installing burglar alarms, smoke detectors, sprinkler systems, and deadbolt locks can lead to discounts on renters insurance.
• Comparison shopping: Prices for renters insurance vary across companies, so it is worth comparing quotes from at least three different insurers to find the best deal.
• Seeking out discounts: Various discounts may be available depending on the company and state. For example, retirees or those who have modernised their plumbing or electrical systems may be eligible for a discount.
• Long-term policyholder: Staying with the same insurer for a number of years may result in a loyalty discount.
• Paperless billing, autopay, and nonsmoking: Some insurers offer discounts for paperless billing, autopay, or nonsmoking.

What renters insurance covers

Renters insurance covers your personal belongings, including furniture, clothing, shoes, electronics, appliances, kitchen equipment, bedding, and towels. It also covers sports and hobby equipment, such as bicycles and musical instruments.

Renters insurance typically covers fire, windstorms, lightning, explosions, theft, and vandalism. It also covers water damage from internal sources, such as plumbing issues or intrusion from a neighbouring unit. It does not usually cover damage to the exterior of the building, earthquakes, floods, bedbugs, or mould.

Renters insurance provides four types of coverage: personal property coverage, renters liability insurance, guest medical expenses, and additional living expenses. Personal property coverage includes your personal belongings, as mentioned above. Renters liability insurance covers you in case of a lawsuit resulting from incidents on the rental property, such as accidental injuries, injuries from pets, or accidental damage to a neighbour's property. Guest medical expense coverage pays for medical expenses for guests injured in your home. Additional living expenses provide reimbursement for temporary relocation due to a covered disaster, including lodging, food, and other living expenses.

You may also be able to add coverage for high-value items, such as jewellery, watches, antiques, and fine art. Renters insurance can also be extended to protect personal belongings stored in a motor vehicle, trailer, or watercraft.

How much renters insurance costs

The cost of renters insurance depends on a variety of factors, including the state and location in which you live, the insurance provider, the amount of coverage, and the type of coverage. On average, renters insurance costs between $12 and $30 per month.

Insurance Provider

Different insurance providers charge different rates. For example, renters insurance secured through GEICO can cost as little as $12 per month, while the average cost of renters insurance through Progressive ranges from $14 to $30 per month.

Amount of Coverage

The more coverage you need, the more your renters insurance policy will cost. This is because the amount of coverage you choose will affect the price of your policy. If you have a lot of personal belongings, you will need more coverage, which will come at a higher premium.

Type of Coverage

The type of coverage you choose will also affect the cost of your renters insurance. Replacement cost coverage, for example, offers greater protection than actual cash value coverage but comes at a higher rate.

State and Location

The state and location in which you live can also impact the cost of renters insurance. Areas with higher crime rates and risks of natural disasters, such as wildfires or tornadoes, will typically have higher renters insurance premiums.

Other Factors

Other factors that can influence the cost of renters insurance include your credit score, the presence of safety and security devices in your home, and whether you bundle your renters insurance with another policy, such as auto insurance.

Frequently asked questions