The Average Renters Insurance Cost

According to CompareInsurance new premium study, the average renters insurance price in the US is $168 a year or around $14 a month. This is focused on a policy of the $30,000 personal property coverage of a hypothetical 30-year-old tenant, $100,000 liability coverage, and $500 deductible.

Although the nationwide average is a useful, basis renters insurance rates can differ greatly depending on where they live.

How much is renters insurance in your state?

The location of your home is a major factor in the cost of your renters insurance. Check how much you can expect to pay for renters insurance in your state below.

These are the five most expensive states for renters insurance:

1. Louisiana: $253 per year, or $21 per month, on average.
2. Georgia: $234 per year, or $20 per month, on average.
3. California: $226 per year, or $19 per month, on average.
4. Mississippi: $224 per year, or $19 per month, on average.
5. Alabama: $222 per year, or $19 per month, on average.

Meanwhile, these are the five cheapest states for renters insurance:

1. Wyoming: $101 per year, or $8 per month, on average.
2. Alaska: $107 per year, or $9 per month, on average.
3. Iowa: $112 per year, or $9 per month, on average.
4. Vermont: $113 per year, or $9 per month, on average.
5. North Dakota: $115 per year, or $10 per month on average.

How much is renters insurance in your city?

If you live in one of the country’s 20 largest metropolitan areas, you can check out the average cost of renters insurance in your city below. The Los Angeles average is the costliest at $248 per year (about $21 per month), while Philadelphia is the most affordable at $147, or a little more than $12 per month, on average.

What’s included in renters insurance rates?

Most renters insurance policies include four basic types of coverage:

Personal property.This part of your insurance will be paid to replace if your items are stolen, damaged by a wind storm or lost in a fire. Coverage is usually deductible and is limited to such circumstances specified in your policy.

Liability. This part of the policy includes legal costs and penalties arising from accidents such as an injured visitor at home or a stranger biting your dog. (Note some insurers are excluded from coverage of some dog breeds.)

Payments for medicine. This coverage is also combined with a liability since it pays for the injury of a visitor on your premises without a lawsuit.

Further costs for living. The coverage is often called a loss of usage when you need to evacuate after a tragedy specified in your policy while your home is undergoing repairs. It will cover, for example, more than the usual expenses for hotels or restaurants waiting to return home.

What determines the cost of renters insurance?

Each insurance provider measures insurance renters somewhat differently, but those are the most common factors that can affect the premium.

Where you live.You are expected to pay more for homeowners' insurance in an area that is likely to be at home to natural disasters such as hurricanes, wildfires or tornados. You may also pay extra if there is a high criminal rate in your area or if you do not have a nearby hydrant or fireplace.

Your previous claims. You would probably consider your existing insurer as a larger risk and an increase in the premium if you have made claims in the past with another firm.

Your credit history. Renters insurance do not review your FICO credit score, but they do, in most Jurisdictions, take a similar step to assess your payment potential. your credit-based insurance score is the same. Higher-value renters typically pay less for benefits.

Your dog. Since insurance usually covers responsibility for dog bites, it might cost you more to own larger dogs and more abusive breeds (or not be covered at all).

Your coverage limits. The more protection you need, the higher your policy, so a family renting a three-bedroom house almost always pays more than a single person in a city-wide studio apartment to ensure their things.

Your deductible. The sum to be paid in respect of a lawsuit before your insurer pays the rest may be reduced by selecting the higher deductible. Make sure you have plenty of cash to cover in an emergency before you raise your deductible.

Renters insurance discounts

You can save your renters insurance in a number of ways, but these are the commonest.

Multi Policy. You could be given a discount on both insurance policies if you purchase both renters insurance and a policy (such as car insurance) from the same provider.

Free of charge. Renters that do not have a recent claim also qualify for discounts. "Recent" claims, depending on the organization, have been generally made within three to five years.

Safety and security devices. If your home has burglar alarms, smoke sensors, sprinter devices or other devices designed to reduce the risk of fire or robbery, many insurers may decrease your premium.

You may also save money, depending on your insurer (rather than a monthly instalment), by preferring a paperless bill or a self payment, and not smoking.