4 Best Cheap Renters Insurance Companies

If you are renting a home or apartment, you should look into renters insurance. This service is designed to protect you and your property. If the unit is damaged, you can avoid the additional living expenses if you have a contract with a renters’ insurance company.

It is always better to be safe than sorry. Think of this insurance as something your future self will be grateful for. In some cases, landlords require you to have renters insurance before they give you the keys to your new home.

While looking for a provider can be stressful, Benzinga can help you with this task. In this article, you will find the four best cheap renters insurance companies.

Best Cheap Renters Insurance Companies

Take a look at the following companies and choose the one that is right for you. All of them have excellent customer support and offer plans to meet everyone's needs. 

• Best for High Value Items: Allstate
• Best for Discounts: Progressive
• Best for Loyalty Rewards: Toggle
• Best Digital Sign Up: Lemonade Renters

Why You Should Trust Benzinga

Benzinga wants to make financial management easier for you. It is important to choose the right investing tools, but it’s often stressful to do so on your own.  You will find this article useful if you are about to become a renter.

While it is not legally required, renters insurance is good to have. Many people use the service, and several companies provide it. But not all of them deliver on their promises, and some companies charge hidden fees.

Benzinga’s team of experts reviewed and analyzed providers by reading through policies, comparing premiums and checking coverage amounts to arrive at the four best options. 

1. Allstate Corp.

Allstate is a well-known provider that offers low-cost insurance. You can choose from three plans that cover $15,000, $30,000 and $50,000. Allstate is one of the cheapest providers compared to its competitors.

Basic plans cover personal property, liability and medical payments as well as additional living expenses. You can choose extra coverage for an additional cost. 

Allstate also offers extended coverage on jewelry, watches and furs. Retired customers benefit from discounts of up to 25% of the premium value. 

Pros:

• One of the cheapest providers
• Up to $50,000 in coverage
• Good rates for people with poor credit scores

Cons:

• Location influences the cost
• Not ideal for covering electronics

2. Progressive Corp.

Compared to other providers such as State Farm Insurance and Liberty Mutual Insurance, Progressive services are more expensive. But the value is greater because the company offers packages that cover a variety of assets.

Progressive’s Homeshield R Package increases the limits on special items. You can get higher coverage for collectibles such as vintage clothing, musical instruments and antiques. 

If you live in an area that’s at risk of flooding, you should also consider Progressive’s water backup coverage. You can receive a discount if you bundle car and renters insurance.

Pros:

• Few complaints means high customer satisfaction
• Discounts are available and easy to get
• Homeshield packages will extend your coverage

Cons:

• More expensive than other providers
• You must provide personal information before receiving a quote

3. Toggle

Toggle has been operating since 2018 and is growing in popularity across the nation. It is also one of the few providers that protects your side income and equipment. It also provides a special package intended for pet owners. 

You can get up to $1,000 in coverage for personal belongings. If you want a higher limit, you can choose from different categories such as collectibles, furniture and technology. 

If you get Toggle’s pet parent coverage, it will provide up to $100,000 if your pet injures someone. If your dog damages your home, Toggle covers $500 for the repair costs.

Pros:

• Lots of loyalty rewards
• Special pet parent package
• Information on its website is easy to understand

Cons:

• Only available in 26 states
• More complaints than other providers

4. Lemonade

Lemonade has a high financial stability rating and a lot of experience in the insurance industry. You get clear answers to your questions from its professional customer service team. 

This company is best known for allowing digital sign-ups. It also provides an app for its customers. You can download it and get a quote in less than two minutes. 

If you get renters insurance from Lemonade, you will also be making the world a better place. Lemonade charges a small fee with each premium you pay, and at the end of the year, the money goes to the charity of your choice.

Pros:

• The interactive app is easy to use
• Supports the charity of your choice
• Some claims are paid instantly

Cons:

• Only available in 28 states
• More consumer complaints than expected

What Is Renters Insurance?

Renters insurance is a policy created specifically for renters. It covers tenants in case of an emergency so they won't have to spend money on unexpected situations. This type of insurance is available across the nation and is considered to be cheap.

Renters insurance protects your personal property in the event of fire or theft. The apartment or home is not your property so your landlord should have landlord insurance, which will protect you but not your belongings. 

Some landlords require tenants to have renters insurance and make it available to them. Even if your landlord doesn’t require it, it is good to have a policy anyway. In this case, you will have to get insurance through a provider.

How Does Renters Insurance Work?

Renters insurance offers various types of coverage. The value of your belongings is covered if they are destroyed in a fire or stolen. Most policies include four types of coverage:

• Liability: The company will cover you if you are responsible for damage to the property you're renting. 
• Loss of use: The company will pay for accommodations and living expenses if you have to relocate while your landlord renovates the property.
• Medical payments: If someone is injured in your home, their medical expenses will be covered regardless of the reason.
• Personal property: The value of your belongings, such as clothing and furniture is covered.

Some providers will offer additional coverage at a higher price, and each company has its own policies. You can also make specific requests and work towards an agreement with them.

How Do You Get Renters Insurance?

Before you consider getting renters insurance, evaluate your needs. Figure out how much coverage you need. 

You can start by taking a look at your belongings and estimating their value. On average, renters insurance will cover a maximum of $100,000, which is more than enough for most people's household items.

The next step is to research insurance companies that serve renters. You don't have to spend hours comparing and learning about the best providers. Benzinga recommends four of the best ones in this article to make it easier for you to make a choice.

You may be able to buy a policy directly from the insurance provider’s website, but 

in some cases, you'll have to call them or visit the agency. 

Factors to Look For

You should consider a few factors before you get renters insurance. It's better to be informed and know what to expect. Some of these points will also impact the cost of the insurance.

Safety Features

If the property you are renting has features such as video cameras that reduce the risk of disasters, you might get a reduced rate on the policy. 

Coverage Type

If your belongings are stolen or damaged, the insurer will pay you their value or cover the cost of replacing them.

Your Location

Because some areas are more dangerous than others, your location also contributes to the risk. Your insurer will look at the crime rates and the overall safety of your neighborhood as well as weather statistics and natural disaster threats.

How Much Does Renters Insurance Cost?

Renters insurance is one of the cheapest forms of insurance you can get. On average you can expect to pay $15 to $20 per month. The actual price depends on your provider and the policy you get.

The factors presented in the previous section will also play an important role in determining the monthly cost. With higher risk comes a higher price.

The more belongings you want to insure, the higher your coverage will be. If you want to protect your expensive gadgets and high-value items, you will have a higher premium. 

Because it is easier to replace damaged or lost belongings, most providers offer lower prices if you opt for replacement cost coverage rather than cash value coverage.

Comparison

If you are still unsure about which provider is best for you, take a look at the following table, which compares the most important information for renters insurance. 

What Does Renters Insurance Cover?

It's good to be insured for the future. Renters insurance makes it easier to get through an event that results in loss or damage to your belongings. 

Renters insurance usually covers:

• Building alterations: damage, alterations and improvements on your home
• Medical payments: medical expenses for someone injured in your home
• Personal liability: injuries caused by accidents that occurred at home
• Loss of use: living expenses for when you cannot reside in your home because repairs are being done on the property
• Contents: personal belongings and items you own

Some providers also offer theft protection for belongings stored in your car or trailer. Depending on the area, there are also several policies available for earthquake and volcano protection.

Where to Get Renters Insurance

After you figure out your needs and decide to get renters insurance, you can check out the four providers reviewed in this article. Learn more about them and find out which policy aligns with your preferences. If price is important to you, you'll find yourself looking for the cheapest one, but that's not always the best move.

These providers are among the best in the market and offer their services at a reduced price. You will get exceptional value for the money you spend. Consider the features included in your plan, but also verify that the coverage amount matches the total value of your belongings.

Some companies will let you apply for this insurance on their websites. All you have to do is provide a couple of personal details. Others will only insure you if you call them, and their websites will only provide you with information about the service. 

Frequently Asked Questions