How Much Does Apartment Insurance Cost?

woman unpacking in her new apartment

There are two ways we could talk about apartment insurance. The first way is renter’s insurance, and that’s the angle we’ll take today. We’ll explain how much renter’s insurance costs and what it usually covers. The other insurance product that could be called apartment insurance is a landlord protector policy. Those policies are for landlords and not what we’re writing about today. So, if you’re a renter, and you’re wondering about the apartment insurance cost you might face, read on!

Apartment Insurance Basics

Renter’s insurance is designed to cover your belongings in the rented home against fire damage, storm damage, and theft. Your covered belongings usually include furniture, clothing, shoes, appliances, and most household electronics. In a nutshell, if your rented home were to burn down or be burglarized, the insurer will pay for your belongings.

Renter’s Insurance Is Affordable and Valuable

While every policy is a unique agreement between the insurance company and the insured, you can expect your apartment insurance cost to usually be very affordable. We’ve seen renters insurance premiums starting as low as $25 for $25,000 worth of belongings in some cases.

The apartment insurance cost is even more affordable for individuals who can bundle other insurance with a renter’s policy. If you’re spending $25 a month on renter’s insurance and receiving a $15 monthly discount for a multi-line bundle on your car insurance, there’s even more value.

But, there are a few items renter’s insurance doesn’t cover

Items Not Covered By Renter’s Insurance

Renter’s insurance won’t cover large amounts of cash, high-end luxury jewelry, collectible guitars, or expensive art. As licensed insurance agents, we may add those items to a policy (it’s called scheduling) or write a separate policy for a specific item. So, if you have a $10,000 engagement ring, let your favorite insurance agent know about it!

Vargas & Vargas Insurance is proud to be your premier local independent insurance agency. We work for our customers, not the insurance company. We will customize your renter’s insurance coverage to your specific situation and budget, and we’re here to answer all of your insurance questions. So let’s talk!

Why Is Rental Insurance Important?

happy couple in an apartment

Why is rental insurance important? This may be a question you have. After all, if you live in an apartment or a condo, you don’t actually own the building. You are not responsible for the insurance on the physical building. However, you are responsible for your personal belongings that are inside the condo or apartment.  

Protect Your Personal Belongings

If you are paying rent to a landlord, their insurance covers damage to the building you are living in. If your belongings got damaged, lost, or stolen, your belongings would not be covered under the landlord’s insurance. You would not be able to replace these items. Rental insurance protects your personal belongings from loss, theft, or damage.

Consider This Example

Imagine that your neighbor is cooking dinner and leaves the stove unattended. A fire breaks out, and it causes damage to their unit and your unit. If you have renter’s insurance, then a combination of your neighbor’s insurance, the personal property coverage in your renter’s insurance, and the landlord’s property insurance would all be considered. In this scenario, if you are all covered, all three parties may be completely covered for their losses.

Prepare for Liability Claims

What about liability claims? If someone comes to your home, and you are renting it, what happens if they injure themselves? The liability portion of rental insurance provides compensation if someone is injured while at your home.

Get Coverage for Temporary Accommodations

What if your apartment building burns down? What if your condo has smoke damage? If your home is damaged and needs to be fixed, renter’s insurance can cover the cost of having to live somewhere else while your condo or apartment gets repaired or until you can find another place to live.

Establish an Insurance History

Having renter’s insurance helps establish an insurance history. This is very helpful when you go to purchase a home or a condominium. If you had no claims with your rental insurance, you will qualify for a “loss-free” or “claims free” credit on your home or condo insurance policy, which will reduce the cost of the policy.

Contact Us for Rental Insurance That Fits Your Needs

Vargas & Vargas Insurance is one of the premier local independent insurance agencies. We work for our clients and not the insurance company. We will customize your insurance coverage to your specific needs at the right price and are here to answer all of your insurance questions. Contact us today.

5 Reasons for Renters Insurance Every Renter Should Know

Happy couple talking on a coffee break after unpacking their belongings at new apartment.

Renters insurance is one of the rare breaks you’ll get from the insurance world: it’s super affordable without sacrificing coverage. Most landlords require it, but even if yours doesn’t, you still need it. Here are five reasons for renters insurance and why it’s so important:

1. It’s one of the best deals in insurance.

Your monthly premium will cost you about the price of a haircut, about $15 to $20. Sounds unbelievable, sure, but truly it’s one of the cheapest policies you can buy. 

2. It covers your stuff. 

That new laptop you just bought? Covered. That flat-pack furniture from IKEA? Covered.  Renters insurance stops you from paying out-of-pocket for new things—including furniture, jewelry, clothes, computers, and electronics—if yours are damaged. Even if you don’t think you own a lot, it adds up quickly. A standard policy will cover you for the following accidents and catastrophes: 

  • Fire or lightning
  • Riots or civil commotions
  • Smoke 
  • Theft 
  • Vandalism 
  • Weight of ice, snow or sleet
  • Damage caused by aircraft, vehicles, or falling objects
  • Explosions
  • Volcanic eruptions
  • Windstorms or hail
  • Water or steam damage from sources within the apartment, such as household appliances, plumbing, heating, air conditioning or fire-protective sprinkler systems

But wait, you might ask, doesn’t your landlord’s insurance cover your stuff? A lot of people make this assumption, but it’s not true. Your landlord’s insurance covers the physical structure in which you live. If a fire destroyed your apartment, the landlord’s insurance company pays out for the building, not your stuff.  

3. It covers your stuff when you’re traveling. 

Yes—incredible. Most policies will cover your belongings wherever you travel in the world, whether they’re in your car, your backpack, or your pocket. If you travel a lot, make sure you talk to an insurance agent about getting a policy that covers you internationally. 

4. It gives you liability coverage. 

Along with covering your belongings, renters insurance will give you liability coverage. So if someone sues you after getting injured in your apartment, renters insurance would help cover lawyer costs and medical bills. 

5. It can cover additional living expenses. 

If your apartment becomes uninhabitable and you’re forced to live in a hotel and eat takeout, renters insurance may foot the bill. Check with your insurance agent to see how long your policy will pay for your additional living expenses. 

Looking for Renters Insurance?

If you don’t have a renters insurance policy, we can help you. We’re independent insurance agents, meaning we work for you, not any one insurance company. We’ll customize your renters insurance coverage to match what you need at the best price, and we’re here to answer any of your insurance questions. Contact us today to get the right insurance for your apartment. 

Important Variables Classic Car Owners Should Consider While Researching Policies

Vargas & Vargas Insurance serves the Dorchester, MA community, as well as the surrounding areas, by helping people find coverage. We strive to help our clients find policies that will keep them safe and secure. As an independent agency, we have positive relationships with several carriers in the region to help make sure that our clients can find flexible and reliable policies.

Important Classic Car Insurance Variables

Your classic car is one of your most prized possessions. It’s a unique asset that you have to take care of. Classic car insurance will help you maintain the value of your vehicle. Here are some important variables to consider while you are researching policies.

The Usage

In order for your vehicle to maintain its status as a classic car, you should only drive the vehicle on very exclusive occasions. Primarily, you should only drive the vehicle to special shows in the Dorchester MA area. The policy will also outline a mileage limit that you have to adhere to.

Storage

Having a good place to store your classic car is important. You should look for somewhere safe and secure where your vehicle will be protected from the threat of inclement weather. Consider a classic storage facility. Storing your car at a classic facility will allow you to enjoy some amenities specifically designed to help you maintain your classic car. Storing your classic car at a private building is another option.

Maintenance Tips

Make sure that your classic car has regular oil changes to prevent contamination buildup. Also, try to keep a full tank of gas in your vehicle. That will reduce the possibility of engine troubles. Make sure that your policy contains coverage if you plan to replace parts of your car with new ones.

Consult With Vargas & Vargas Insurance

For more information on classic car insurance, visit our website today!  

6 Ways Downsizing Saves You Money

older couple unpacking in front of their new home while downsizing

A big house is not always the best, particularly if you want to make your life simpler and save on expenses. Most people often desire to downsize their homes and streamline their lifestyles as they age. The decision to downsize your house is motivated by several reasons, including fewer expenses, starting a new adventure, and minimizing the upkeep and effort of maintenance. If you want to know if downsizing saves you money, it is vital to consider all the different areas of savings. Below are the expenses that you can save on when you downsize your house.

1. Cost of Purchase

A smaller house comes at a cheaper cost, which is subject to less capital gains tax on profits. Therefore, you save on the cost and on capital gains tax.

2. Property Taxes

When you downsize your house, you save on property taxes. There is a big difference in property taxes between different neighborhoods based on the availability of amenities and access to roads.

3. Maintenance

Moving to a smaller house helps in reducing the amount spent on maintenance and sustenance. This relieves you from the maintenance cost of a large house that can, at times, weigh you down.

4. Mortgage

Downsizing to a smaller house ensures you fully utilize the space in your house, and you save on your mortgage payment.

5. Utilities

A smaller house means you are spending less every month to cool and heat the space. This is good for your wallet and the environment because you are consuming less energy.

6. Healthcare

In most cases, a big house is packed with clutter and stuff, and this adversely affects the quality of air. Cluttered homes are dustier and dirtier than small houses that are less cluttered. Also, the air quality in small houses is good, and this reduces your chances of falling sick. Cleaning a smaller house is less complicated and does not consume much time. There is little stress in cleaning your small house, and this does not adversely affect your health.

Vargas & Vargas Insurance can help you when you are buying or downsizing to a small place. We will customize your insurance coverage to your specific needs at the right price. We are here to answer all of your questions, so contact us today.