Renters Insurance Mistakes First-Time Renters Should Know – Forbes Advisor

Moving into your first apartment is exciting—finally, your place, your rules and a massive trip to Ikea. But one thing often gets skipped before you get settled in: renters insurance.

It’s not the flashiest part of adulting, but if your stuff gets stolen, your apartment floods or a guest slips and gets hurt, it can save you from a serious financial mess. And the best part? It usually costs less than your monthly streaming subscriptions, with some even starting at $13 per month.

What Renters Insurance Covers

Renters insurance doesn’t just cover the apartment itself, but most policies include coverage for: 

• Personal property: Covers you if your stuff is stolen, damaged by fire or vandalized. Perfect if your laptop or gaming setup takes a hit.
• Personal liability insurance: Helps pay if a guest gets hurt in your place and sues you.
• Medical payments: Covers small medical bills if someone is injured in your rental.
• Additional living expenses: Pays for hotel and meals if your apartment becomes uninhabitable due to a covered incident.

First-Time Renter Mistakes to Watch Out For

If you’re renting for the first time, you’re not alone. Here are some common mistakes to watch out for before moving into your new place:

Thinking Your Landlord’s Insurance Has You Covered

It doesn’t. Your landlord’s policy protects the building, not your items. So if there’s a fire or someone breaks in, your landlord’s insurance won’t pay to replace your laptop, clothes or furniture. Everything is on you—unless you have renters insurance.

Telling Yourself, “I Don’t Own That Much”

It’s easy to think that you don’t own many valuables. But even a small apartment’s worth of stuff adds up fast. From clothes, shoes and electronics to kitchen items, it can cost a fortune if you have to replace everything at once.

Skipping Personal Liability Coverage

If someone trips in your apartment or your overflowing sink ruins your downstairs neighbor’s ceiling—guess who’s paying for it? You. Personal liability coverage handles that kind of thing, and it’s usually included in your renters insurance policy.

Not Bothering Because It “Feels Optional”

Renters insurance costs about $10 to $20 a month, adding up to about two cups of coffee in today’s economy. It can save you thousands if something goes wrong.

Not Listing Your Expensive Stuff

Most basic policies cap the amount they’ll cover per item. So if you have a $1,500 MacBook or a nice camera, you might need to add extra coverage to fully protect it. This coverage is called a “rider” or “floater,” and it’s usually easy to add.

Not Shopping Around

There are a ton of renters insurance options. Some are cheaper than others, and if you bundle them with your car insurance, you can usually get a discount. Do your research; don’t just grab the first one you see.

Overlooking the Deductible

That $10 per month plan might come with a $1,000 deductible, so if your $900 TV gets stolen, you won’t get anything back. Always check the numbers before you commit.

Top-Rated Providers for New Renters

Forbes Advisor highlights a handful of strong options worth comparing on coverage, cost and reputation:

Bottom Line

As you step into independence, renters insurance is a smart, economical way to protect yourself and your stuff. Trusted options include State Farm, Westfield and Allstate, so check out quotes and lock in peace of mind before moving day.