2020 California Renters Insurance Guide

California Renters Insurance provides coverage for your lost, damaged, or stolen personal possessions in a rented apartment, condo or home. In addition, a renters insurance policy protects you against losses resulting from liability claims such as injuries occurring on your rented home or apartment. Remember, that coverage limits — the maximum amount your policy will pay for personal property losses — will apply.

Many renters think their landlord’s insurance policy will cover their belongings. Unfortunately, the landlord’s insurance policy will cover the building itself, not your personal possessions. Also, it may not cover injuries sustained within the structure. For example, if the building goes up in flames, your landlord’s coverage would include repairs to the building, but not your personal possessions.

California Renters Insurance

Property Insurance

Renters insurance policy covers your personal belongings. Renters insurance covers your possessions against damage for covered perils such as fire, smoke, wind, hail, lightning, and more. However, damage from an earthquake, mold and terrorism is not included. California property insurance also protects against vandalism and theft. HO4 renters insurance can be calculated as an actual cash value policy or a replacement cost policy. This decides on how much you will receive from your policy to cover an item if it’s lost or damaged.

  • Replacement cost policy covers the actual cost of replacing your possessions. This policy will ensure that you will receive the full cost to actually replace your possessions.
  • Actual Cash Value policy deducts depreciation from the amount you receive for your insurance claim. It covers the value of the item at the time of loss up to its current market value (taking depreciation into account).

Renters Liability Insurance

Personal liability coverage is part of a standard renters insurance policy that protects you in the event that you are responsible for injury or property damage to others. Renters Liability Insurance provides coverage for another person’s medical bills or repairs to their property if you’re found legally responsible for their injuries or property damage. Personal liability also covers legal defense costs and judgments in a lawsuit.

California Renters Insurance

What does renter’s insurance not cover?

The personal property and liability coverage provided by renters insurance doesn’t cover your belongings under certain circumstances. For example, property damage due to earthquake or flood damage won’t be covered. Liability coverage for events related to dangerous dog breeds, property damage caused by pests, damages from terrorism or nuclear war and losses due to tenant’s negligence are also excluded.

California renters insurance policies usually have coverage limitations on expensive valuables like antiques, art or jewelry and vintage family heirlooms. If you have high-value items like these, you’ll need a type of add-on coverage called a “rider" for each specific item.