Protect What You Own with Alabama Renter's Insurance

Alabama Renter’s Insurance 

Purchasing a renter’s insurance policy is one of the easiest (and cheapest) ways to protect yourself and your belongings while renting your home in Alabama. A typical policy costs only $10 to $20 per month and can save you much more should unexpected damage or liability occur.

But despite its affordability and practicality, only about half (55%) of U.S. renters currently have renter’s insurance, most of whom must have a policy per their landlord’s requirements.

We’ve prepared this article to help you understand why you need renter’s insurance in Alabama and how to obtain a policy in this state—from cost and coverage to additional policies you may need.

What is Renter’s Insurance? 

Renter’s insurance is insurance that covers specific types of losses suffered by renters during their occupation of a rental property. A typical renter’s insurance policy covers personal property, liability protection, and additional living expenses. Renter’s insurance often kicks in after damage from natural disasters, accidents, or other incidents.

An important note: Renter’s insurance does not cover the actual building itself. The physical building you live in should be covered by your landlord’s insurance. Renters insurance helps protect you and the belongings you own within the property that may be damaged or stolen.

Why Do I Need Renter’s Insurance? 

Everyone who rents their home—whether that be a single-family home, studio apartment, mobile home, townhome, condo, or other type of property— should have a renter’s insurance policy. This is because even though you don’t own the physical building you are renting, the items you keep within it (or even in your car, or elsewhere) could still be damaged or stolen.

For example, imagine that a fire occurred in your apartment complex. Your landlord’s insurance would cover the damage to the actual building, appliances, and building systems. However, your landlord is not responsible for replacing all your lost clothes, furniture, electronics, and other belongings. That’s what renter’s insurance is for.

Renters insurance policies can also cover medical or legal expenses if you are sued. For example, your renter’s insurance would apply if someone gets injured in your home and you are responsible for their medical bills.

An average renter’s insurance policy includes $20,000 – $30,000 of personal property coverage and doesn’t cost you more than a $20 bill each month. It’s a small price to pay for the great financial security renters insurance offers.

What Does Renters Insurance Cover? 

Renter’s insurance has three main categories of coverage.

1. Personal Property: Personal property refers to any belongings like clothes, furniture, electronics, etc. Your personal property is subject to limits and requires a deductible. However, your insurance will reimburse you should your personal property get damaged by disasters such as the following:
   • Fire and smoke
   • Storms, lightening, wind, hail
   • Theft
   • Vandalism
   • Explosions
   • Winter weather damage
   • Damage from infrastructure tearing, cracking, burning, etc.
   • Sudden, accidental damage from electric currents
2. Liability: Liability coverage pays for your medical or legal bills should you be responsible for an injury on the property or damage to the property itself.
3. Loss of use/Living Expenses: Loss of use insurance kicks in if the property you rent becomes uninhabitable due to damage or repairs. It pays for your hotel bills and even certain food expenses while you wait for repairs to be completed.

There are a few disasters renter’s insurance doesn’t cover, like flooding. It’s important to read your renter’s insurance policy to understand what is and isn’t included. If you need coverage that isn’t included, you can purchase add-on policies, such as water backup coverage, theft extension coverage, scheduled valuables coverage, or earthquake and volcano coverage.

Alabama Renters Insurance :

Renters insurance in Alabama protects you and your belongings from a range of perils. Located on the Gulf of Mexico, Alabama homes are subject to tropical storms, heavy rains, and water damage. It is important to obtain financial protection for your belongings in case your home and personal property suffer damage from the elements.

How Much Does Renters Insurance Alabama Cost? 

Insurance companies in Alabama offer very affordable renters insurance coverage. According to NerdWallet, the average cost of renters insurance in Alabama for 2024 is $183 per year, or about $15 a month (25% higher than the national average of $12 per month). The reason renter’s insurance is slightly more expensive in Alabama is due to this state’s susceptibility to certain types of losses. However, $15 per month still allows you to purchase cheap renters insurance while obtaining safety and security for yourself and your belongings. Bundling your insurance with other types (e.g., auto) may also help you secure renters insurance discounts.

What Are the Most Common Claims in Alabama?

Progressive reports some of the most common claims in Alabama to be burglary and vandalism. Alabama has the seventh highest burglary rate in the U.S., with approximately 532 burglaries per every 100,000 people. Burglars often target household items that can be easily transported in addition to property with high resale value, such as electronics, firearms, and prescription drugs. If your home is robbed or damaged by burglars, your Alabama renters insurance policy will cover the replacement value or actual cash value of the stolen or vandalized items (minus your deductible and up to your coverage limit).

What Additional Policies Do I Need in Alabama? 

Renters in Alabama also need flood insurance. Flooding is very common in Alabama – in fact, according to the Federal Emergency Management Agency (FEMA), Alabama had the ninth highest total claim dollar paid for flooding-related damage between 1996 and 2019 at $1,145,370,121. In some years, Alabama saw more than 200 flood events across the state.

Areas that have historically seen the most flooding in Alabama include the northern counties (e.g., Lauderdale, Limestone, Madison, etc.), a few central areas like Jefferson and Tuscaloosa counties, as well as Mobile and Baldwin counties in the south. However, flooding is possible even if your home is not in a designated floodplain.

Flood insurance is not included in most renter’s insurance policies. If water or flood damage is not included in your policy, you’ll need to obtain an additional flood insurance policy. The National Flood Insurance Program (NFIP) helps homeowners and renters obtain flood insurance.

How to Get Renter’s Insurance in Alabama 

Most major insurance providers offer renter’s insurance, often bundled with auto insurance for lower renters insurance rates. To determine your policy and coverage details, your insurer will typically ask you a few questions about the rental unit (such as the type of building, year it was built, and address) and the dollar value or replacement cost of high-value personal belongings you own. You’ll be able to tailor your policy and coverage details to your needs before receiving a renters insurance quote.

Get Renter’s Insurance with Innago 

Innago offers renter’s insurance through our partnership with Assurant. If you’re a renter, regardless of whether your landlord uses Innago, you can purchase a policy and get protection for you and your personal belongings. You can get quick and affordable renters insurance quotes, customize your coverage, and add an additional person onto your policy at no extra cost.