What is renters' insurance in India?

Just like home buyers who protect their homes from haphazard events with insurance, apartment renters can use a similar concept to protect their homes. Here's what renters' insurance covers, excludes and the companies that help you protect your rented apartments from damage.  

What is Renters' insurance? Renters insurance basically protects your personal property in a rented apartment or home from unexpected circumstances like theft, fire, or sewer damage. Since the insurance pays for your lost or damaged possessions, it protects you from liabilities if someone is injured on your property. 

What does it cover? Renters' insurance policy usually covers your home against the following risks: 

• Fire
• Theft
• Natural calamities
• Man-made calamities
• Electrical breakdowns
• Accidental damages

The renters' policy also covers special high-value assets of the tenant like jewellery, expensive gadgets, works of art, etc curios, etc. These assets are covered against damage due to natural or man-made calamities and theft.

What does it not cover? The renters' insurance policy does not cover:

1. Valuables: Though expensive collectibles and valuables can be covered under the policy, it might require additional coverage.
2. Business: If you operate your business from home and say your laptop is stolen from your apartment, then your property might not be completely covered by this renters insurance. 
3. Motor vehicles: Your motor vehicle might be out of your renter's insurance since the policy usually covers personal belongings. 

Situations where you might not be able to avail of renter's insurance:  

1. If the damages are caused deliberately
2. In case of wars or rebellions, mutiny or related perils
3. Very old content which has outlived its useful life