This article was posted on Monday, May 01, 2017

Why Do My Tenants Need Renters Insurance?

Fire, Explosion, Smoke, and Water Damage are just a few examples of the types of losses caused by tenants. Did you know…?

  • The average amount of damage caused by an apartment fire is $11,000.
  • There are 103,000 fires set annually by tenants residing in multi-family units.
  • 70% of all fires are started in the kitchen.
  • Most renters do not carry enough coverage or have sufficient funds available to cover damage as a result of their negligence.

What are the Coverage Options?

Policies are customizable. We offer the following options:

  • Personal Property Coverage: $5,000 – $100,000
  • Liability Coverage Options: $25,000, $50,000, $100,000 and $300,000
  • Guest Medical Payments: $1,000 per person, $25,000 each occurrence
  • Optional Coverages including:
  • Water Back-Up and Sump Discharge or Overflow
  • Pet Damage Endorsement
  • Identity Fraud Expense
  • Increased Coverage for Jewelry
  • Tenants plus Package
  • Earthquake – California only
  • Stand Alone Liability Policy is available for tenants who do not want to cover their personal property.

What Does a Renters Insurance Policy Cover?

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Some of the perils covered by a renter’s policy include:

  • Fire or Lightening
  • Windstorm or Hai
  • Theft
  • Explosion
  • Volcanic Eruption
  • Freezing
  • Vandalism
  • Weight of Ice, Snow or Sleet

How Does a Renters Insurance Program Help My Community?

  • Renters insurance allows the tenant to be financially responsible, which reduces the number of nuisance claims filed on the property owner’s insurance.
  • Having a community where a number of residents participate in a renter’s insurance program could help you save money on your general liability policy.
  • Property managers can file claims directly against the tenant’s policy, with a company the property manager already works with.

How Does a Renters Insurance Program Benefit My Tenant? 

  • Tenants will be able to be reimbursed up to their policy limits, for covered losses.
  • Replacement cost on all contents with a complimentary qualified ENERGY STAR appliance upgrade.
  • Guest Medical Payments – for guests who may injure themselves while visiting.
  • Loss of Use – for living expenses if the unit becomes uninhabitable due to a covered loss.
  • Personal liability for protection from a lawsuit if someone is injured in the unit.
  • One policy covers all roommates and boarders who live at the residence and are listed on the lease or rental agreement on the date of loss.

How Do I Get Started?

Contact AOA’s Group Insurance experts today at:; phone: 650-282-3104;  Email: [email protected] DOI Lic. #: OI96531