Does Renters Insurance Cover Theft? (Answer)

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Does Renters Insurance Cover Theft?

Renters insurance policies are usually meant to protect your personal belongings from damages as well as theft. If something you own is stolen, you will be covered (up to your specified coverage limits). 

Theft is different from fraudulent sales transactions, so note that if you get scammed, renters insurance will not typically cover anything. There are also some exceptions, such as if the theft was perpetrated by a roommate, in which case your stolen property will not be covered. 

Typically, you have to pay a deductible (amount of expenses out of pocket) before you can file a theft claim and have your insurance kick in. 

Does Renters Insurance Cover Theft Outside the Home?

If your belongings were stolen while outside the home, such as in a storage unit or a vehicle, your renters insurance policy should still cover it up to your coverage limits.

If you are bringing your belongings with you outside the home but the items get stolen, your policy should likely cover the losses as well.

There may be a different coverage limit for situations where your items are stored somewhere else but get stolen. Always check your policy so you know how much of your valuables are covered by your insurance in case of theft. 

Does Renters Insurance Cover Theft From Car?

If a thief steals something from inside your car, such as a bag, renters insurance should cover it. 

However, renters insurance does not cover the theft of cars, motorcycles, RVs, boats, and other motor vehicles. This means that you will need separate auto insurance to cover the theft of these vehicles (usually, you would need comprehensive car insurance). 

Does Renters Insurance Cover Theft While Traveling?

Renters insurance does usually cover theft while traveling or away from home. You do not have to be on vacation – you can simply be out of the house.

If something is stolen from you while you are traveling, as long as it is something usually covered by your insurance, it should be covered even if you are traveling. 

There is a difference if the item you want coverage for is in storage or at another location other than your rented residence. In this case, there is typically a lower limit for the claim you would file. Usually, this limit would be 10% of your usual policy limit. 

Does Renters Insurance Cover Roommate Theft?

No. Roommates are the ones who share a place with you. If you live with a roommate and they are the one who steals your belongings, your renters insurance policy is unfortunately unlikely to cover this. For this reason, it is recommended to choose your roommates with caution! 

Does Renters Insurance Cover Bike Theft?

Bike theft is typically covered by renters insurance because it falls under personal property. Covered perils typically include vandalism and theft. 

Bicycles usually do have limited coverage though as they have liability sub-limits, which means that they may not be fully covered. This is because some bikes can be quite expensive around the $1000 mark. If your bicycle is quite expensive, it may be a good idea to insure it separately by buying an additional bike insurance. 

If you are using your bike for racing or competing, your renters insurance policy may exclude it from coverage because of the different purpose you would ride this bike for. 

Does Renters Insurance Cover Theft of Cash?

Yes. Cash is commonly stolen. However, many renters insurance policies do not cover a high amount of stolen cash. Generally, the limit for coverage is around $200 of stolen cash. Check your insurance policy to see what your coverage limit for theft of cash is. 

It can be difficult to prove that you were carrying cash that got stolen. It may be wise to store ATM and bank receipts so that if you need to file a claim for stolen cash to your insurer, you have some sort of proof. 

The good thing about cash theft insurance coverage is that there is no deductible that you have to pay when filing a stolen cash claim. This means that you can directly file a claim without having to pay out of pocket first. 

How to Get Renters Insurance That Covers Theft

If you rent a piece of property, getting renters insurance is a good way to ensure peace of mind and stay protected financially in case of theft. If you live in an area where theft and vandalism are serious concerns, securing renters insurance that covers theft as a peril is even more essential. 

If you’re looking for renters insurance in Florida, get in touch with Worth Insurance. We can help you shop for renters insurance, and you can save with the best value coverage plans.

References

  1. https://www.travelers.com/resources/home/insuring/does-renters-insurance-cover-theft
  2. https://www.progressive.com/answers/does-renters-insurance-cover-theft/
  3. https://www.lemonade.com/renters/explained/does-renters-insurance-cover-theft/

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