How Toronto tenant insurance works
Tenant insurance for renters in Toronto works differently than standard home insurance. Rather than covering the physical structure of your residence, it is designed to protect your personal belongings. This includes everything from furniture, electronics, clothing, décor, and more. Because of this, some refer to it as apartment insurance.
There are three main types of tenant insurance policies for Toronto renters to consider:
- Comprehensive: This gives you the most protection for your unit and belongings.
- Broad: It covers comprehensive perils for your unit and named perils for your individual property.
- Basic: Also called named perils coverage, this protects items specifically listed in your plan. If an item is not listed, it's not protected.
The level of tenant insurance you choose will affect what is and is not included in your policy. Plans also provide you with liability protection if someone were to be injured in your rental unit. We will go into more detail about what it covers below. Torontonians can simply search for tenant insurance quotes online to find a plan.
What does Toronto tenant insurance cover?
Your plan provides you with protection for your dwelling and belongings from loss or damage. You can also opt for more protection.
Here are the three main areas of coverage included in renters policies:
- Personal contents: This protects most of your belonging that you have in your apartment. Some exclusions may apply. For example, high ticket items, jewellery, and collectibles. Limits apply.
- Personal liability: You will have protection if you cause damage to a neighbour's property or if someone is injured at your home. You have coverage for personal injury and resulting legal challenges.
- Additional living expenses: Get reimbursed for additional living expenses if you are forced to vacate after an insured loss. This can include hotel costs, food, transportation and more.
Your quotes for tenant insurance will include these coverages. The premiums will vary depending one the insurance company. It is important to be aware of the terms in your plan such as actual cash value, replacement cost, and the common perils that are included. These factors affect your rate.
What is not covered by tenant insurance in Toronto
Your Toronto tenant insurance does not protect you from all types risks. The following items are generally not covered by a basic policy:
- Anything that exceeds your plan limits.
- Items specifically excluded in your policy.
- Expensive jewellery, collectibles, art, and other rare items.
- Business operations and equipment.
- Damage from floods, sewer damage, earthquakes, and landslides.
Speak with your insurance provider to get clarification about what is included in your plan. Like with Toronto home insurance you can purchase additional endorsements and increase your limits for more protection on your tenant package. This includes: