Finding roommates to help lower the cost of your rent can be both emotionally and financially satisfying. But, did you know roommates might increase the cost of your insurance premium? That’s right! With added roommates, comes added liability. Insurance companies view this as a negative. However, if you omit the fact that you have a roommate, you put yourself at risk for having your policy canceled. So, the best advice is to be honest with your insurance carrier, but also be smart. Here are some things you might not know about insurance and roommates:
- If your belongings get stolen after your roommate relocates, your coverage will only help if the items were stolen from specific parts of the house that are outside of your roommate’s designated living area.
- Your liability will continue to cover you if your roommate is the cause of a fire on the property.
- If you have renters insurance, your policy will only cover your items in the case of a fire, not your roommates. They will need to purchase their own policy.
If you would like to purchase renters insurance, contact The Schwab Agency, located in Dallas and Fort Worth! Their professional insurance agents can offer you top of the line advice, and will work with you until you are more than satisfied with your insurance product.