Renter’s insurance? – Dave Says

Dear Dave,

We just helped move our son into a cheap, off-campus apartment a few blocks from where he is attending college. We signed the agreement, and are paying the rent, because he makes very good grades. Do you think renter’s insurance is a smart buy? It’s less than $12 a month, but the minimum coverage I can get is $15,000, and he probably has less than $1,000 worth of belongings there.

Kevin

Dear Kevin,

I’d get renter’s insurance. My guess is it also comes with five or six figures in personal liability coverage, as well. That’s in case he’s out on the patio with his buddies, someone slips and falls, and they decide to sue because daddy’s on the lease.

In a case like this, because there’s so little to start with, it’s not theft or fire taking the contents of the apartment that you’re worried about. It’s the liability portion of the coverage that makes it worth every penny of what you’d be paying. That alone makes it worth $10 to $12 a month just to make sure a slip-and-fall doesn’t mess with your life!

—Dave