• Liability expenses These are the financial losses that may occur if a third party suffers an injury in your rented home. It also covers third-party property damage that happens in your house. For instance, if you accidentally spill bleach on a visitor's designer suit, the renter's insurance will cover the resulting losses up to the limits stipulated in the policy.
• Damage to personal belongings Renters insurance policy will cover the cost of repair or replacement of belongings damaged in the rented home. For example, if a fire erupts in your rented apartment and burns your expensive mattress and computer, the renters insurance policy will cover the resulting losses.
• Additional living expenses If a covered peril causes your rented property to be uninhabitable, the renter's insurance policy will pay for your alternative living expenses such as hotel accommodation and food.

It is worth noting that renters insurance is necessary for financial protection. Unfortunately, more than 50 percent of renters in the U.S. lack this coverage, with the majority being millennials. Renters insurance is an important policy that protects both the renter and the landlord from financial losses emanating from perils. Common renters perils include fire, bodily injuries, natural disasters, water damage, theft, and vandalism. With renters insurance, rest assured you will not have to pay out of pocket in case of losses.

As mentioned earlier, your landlord has a right to evict you if you don't have renters insurance, provided the tenancy agreement says so. Even so, the law requires the landlord to give you an eviction notice before evicting you from their rental property. How long the notice lasts varies by state, although it's mostly 30 days.

• Shopping around The renters insurance costs vary from one insurance carrier to another. So, it makes sense to say that you can land a more affordable renters insurance policy by comparing quotes from several insurance providers.
• Asking for insurance discounts Most insurance providers give discounts on renters insurance. For instance, you can get a bundling discount if you purchase renters and auto insurance policies from the same carrier.
• Avoiding pets Pets such as dogs can contribute significantly to damage to personal belongings in a rented home. It's no surprise that some landlords include a no-pets policy in their tenancy agreement terms. As such, avoid keeping them if you want your insurance premiums to stay low.