Surprising scenarios when home and tenant insurance is important
Feb 21, 2012 2 minute read
Home and tenant insurance also helps protect your home and your belongings. Fire, theft and vandalism can happen to anyone but when you have home or tenant insurance, you can have the peace of mind that comes from knowing that you’re covered. Read our scenarios below for surprising information about home and tenant insurance.
Scenario 1: Burst pipe brings large bills
No one thinks that they will be responsible for damaging someone else’s property, but if a pipe bursts in your condo, you may be on the hook for damages. If the water leaked into your neighbour’s unit below and damaged their big screen television, the costs could add up quickly. You would have to pay for: fixing your unit, repairs to the building, repairs to the unit below, plus replacing the water-logged television. If you have home or tenant insurance, you may be covered. If you don’t have insurance, you might end up with more bills than you can handle.
Think the building’s insurance covers the damage? Think again. If you are renting, the building’s owner will have insurance that covers the structure of the building, but it does not provide coverage for your unit or your belongings.
Scenario 2: Stolen electronics
After a long day, you are walking up to your car in a parking lot and notice that something’s wrong. Your driver’s side window is shattered and your laptop is missing. If you have home insurance or tenant insurance, you may be covered.
When items that were not part of your car’s structure are stolen, including your laptop or cell phone, you may be able to make a claim on your home and tenant insurance. Many people assume that your car insurance would protect your valuables because they were taken from your car. But it’s your home or tenant insurance that protects your belongings. Don’t have home or tenant insurance? Then you’re out of luck.
Scenario 3: Moving mishap
When you move into your new place, your friends come over to help you unpack. One of your friends trips over a box and injures himself. He’s badly hurt and may not be able to work for a while. Could you be liable?
Yes, the accident happened in your home and you may be liable for any injuries. If you have home or tenant insurance you may be protected. The insurance helps protect you when being sued if someone is hurt on your property.
Make sure you’re covered
The monthly cost of home or tenant insurance is very low compared to the costs of replacing stolen electronics, repairing other condos or paying medical bills of someone hurt on your property.
Every situation is different. Call one of our brokers for a free assessment of your home or tenant coverage. Our brokers can help find the best solution for your insurance needs.