Renters insurance is specifically designed for tenants to protect their properties against potential damage. Just like home insurance is made for home owners, renters insurance is made for tenants. If you pay for a house rent in Nigeria, it is advisable you sign up for a renters insurance coverage, to protect the contents of your house.
Renters insurance is more like a property insurance, because it covers basically your household belongings against damage that may be caused by fire or natural disasters.
What does renters insurance covers in Nigeria?
A standard rental insurance policy covers three main areas.
1. Personal property
Perils covered under personal property includes:
- Damage by fire
- Damage by lightening
- Damage from aircraft
- Riots etc
So if your property is damaged by any of the above mentioned perils, you are covered. Here in Nigeria, insurance companies have different perils covered under renters insurance. So it is advisable you make a proper research to find out the kind of perils covered by some insurance companies. After your research, you can then sign up for the insurance company that covers the kind of service you are looking for.
Renters insurance may not be necessary for you if you are living in a serve apartment. Service apartment is the type of apartment that was already furnished before you parked it. Sometimes the only thing you will be permitted to enter in a service apartment is just your clothes and wears.
If you are in a service apartment, and you still want some insurance coverage, good and fine. But you must insure only items that belongs to you. Insurance company will not insure any item that does not belong to you under renters insurance. The policy may just cover your clothes and may be a few things that belongs to you.
Renters insurance under property coverage also cover some extra items like wrist watches, expensive jewelries, fine arts and many more.
2. Short-time living expenses
This policy covers you from any unfortunate event that may force you out of you house. Lets say there’s a break in or there’s an electric spark that force you out of you house and you end up spending some time in a hotel. Renters insurance under short-time can cover your expenses pending when the problem in your house is rectified.
This policy covers you from any court case that may come up against you, may be as a result of going against the property owners rules and regulations or any other related legal charges that may rise against you.
May be you organize a home party and while one of your invitees is dancing, she slipped off and fall, injuring herself. Your renters insurance can take care of her medical bills. Generally, renters insurance policy under liability will take care of any loss or damage that may come.
What is not covered under renters insurance in Nigeria?
Just like other policies, there are some exceptions under renters insurance coverage. As we always advice you on mytmoro.com, always read the “does and don’t” of any policy before you sign the paper.
1. Natural disaster
Renters insurance does not cover damages done by some natural disasters like flooding or earthquakes. However, special consideration may be given to you if your property is damaged by some other major disasters like wildfire or volcanic eruption.
Here in Nigeria, if you live in area where flood is common, insurance company will advice you to buy additional policy that will cover any potential flood damage.
2. Car theft
In Nigeria, if someone stole something from your car, renters insurance may cover you depending on the policy agreement. But if it is the car that was stolen or damaged, renters insurance does not cover any car theft or damages done to your car. So if you own a car, kindly go and grab yourself an auto insurance coverage to be on a safer side.
3. Your neighbor’s property
Third party’s property is not covered under renters insurance. just like i stated earlier, any property that belongs to your landlord, your roommates or colleagues can not be insured under renters insurance. Instead, advice them to get their own insurance coverage.
4. Damages done by insects or pests
Renters insurance policy is excluded from any damage that may be caused by pests or insects. This is because insurance companies believed that you are supposed to employ a preventive measures to protect yourselves from these creepers.
5. Damage of the building
If there is any damage on the building, like a leaking roof or any damage at all, the landlord should take care of that because it is not covered under renters insurance.
What to do before you buy renters insurance
- Walk round your apartment and take pictures or videos of everything you want to be insured.
- Make a list of those items and estimate how much they are cost. Note: don’t lie, be straight forward because insurance companies have a way to reconfirm the facts from the dealers.
- Sum up all the items and
- Sum up the worth or the estimate of all the items. The worth of your personal belongings will determine how much renters insurance coverage to buy.
Can I upgrade my renters insurance policy?
Yes, you can upgrade your renters insurance policy anytime. This is because you can buy more new things after you might have registered for a renters insurance. All you need to do if you want to upgrade your policy is just to contact the insurance company and give them the list of the new items you want to be included in your renters insurance coverage and you will be upgraded. But have it in mind that your premium will also increase as well.
How much is renters insurance in Nigeria?
In Nigeria, each insurance company have it own price tag, depending on the risks a associated to your choice of policy. Another thing that determine your renters policy price in Nigeria is the volume or the size of your personal belongings that you want to insure. The bigger your personal belongs the bigger the amount insurance company is likely to charge you. Generally, a typical renters insurance policy in Nigeria cost around $15 per month.