Often times, people assume that homeowner and renters insurances are one and the same. This is not true. Although there are major similarities between them, the differences are very much striking. If you are a renter and you are planning to move into your new home or you are a homeowner who is planning on rightsizing to renting, it is important you know the differences between these two terms. This is because, you won’t just be moving into a new house but into a new type of property insurance policy, too.
If you wish to know more about these insurance policies, then you can contact Nsure Network that serves Gainesville, GA. Nsure Network is a reputable agency that can inform you of all you need to know.
Below are some of the major differences between homeowners and renters insurance;
This is the key difference between homeowners and renters insurance. Homeowner’s insurance covers the house and any other building structure on the property. Renters insurance doesn’t cover the building, as it is believed that the landlord already has that covered. However, if a fire happens in the building due to a fault of yours, the liability part of your renter’s insurance will cover the necessary repairs.
The second key difference between homeowners and renters insurance is cost. Homeowners insurance is more expensive than renters insurance, and this is quite understandable. In homeowners insurance, you will be ensuring the entire house. Also, these houses tend to contain a large amount of personal property. In cases of a catastrophe, the insurance company will have to pay more to the homeowner than in the case of a renter claim.
3. A number of policyholders:
Another difference between these two policies is the number of people carrying these policies. It is easy to assume that renters will key into renters insurance so as to have their belongings replaced back in the case of disaster, just like a homeowner, but this isn’t so. According to a survey, less than half of renters carry renters insurance. One reason for this is that a renter insurance is not often required when signing a lease.
For more information about renter’s insurance in Gainesville, GA contact Nsure Network.