Choosing a personal property limit

How to estimate what your belongings would cost to replace and pick a limit that fits.

Most renters underestimate their belongings. Walk room to room and add up furniture, electronics, clothing, kitchen goods, tools, sports gear, and decor. Many households land between $20,000 and $40,000 even in a modest apartment.

Replacement cost coverage pays what it costs to buy a similar new item, while actual cash value subtracts depreciation. Replacement cost usually costs a little more but pays noticeably better after a loss.

Jewelry, watches, collectibles, firearms, and some electronics may have special sub-limits for theft. If you own items like these, scheduling them can raise the limit and sometimes remove the deductible for those items.

Take photos or a short video of each room and keep receipts for larger items in cloud storage. A simple inventory makes any claim faster.

Coverage at a glance

Renters coverage parts
CoverageWhat it pays forTypical choice
Personal propertyFurniture, clothing, electronics, and other belongings after a covered loss, at home or awaySet to the replacement value of what you own
Personal liabilityInjury or property damage you cause to others, plus legal defense$100,000 minimum; $300,000+ common
Loss of useExtra hotel, meal, and living costs while your rental is unlivableOften a percentage of the property limit
Medical payments to othersA guest's minor medical bills, regardless of faultTypically a few thousand dollars

Commonly covered causes of loss

  • Fire and smoke
  • Lightning
  • Windstorm and hail
  • Explosion
  • Theft
  • Vandalism
  • Sudden water discharge from plumbing or appliances
  • Freezing of plumbing
  • Weight of ice and snow
  • Falling objects
  • Damage by vehicles
  • Riot or civil commotion

Commonly not covered

  • Flood and rising surface water
  • Earthquake and earth movement
  • Bedbugs, rodents, and insects
  • Wear, tear, and gradual leaks
  • The building itself (your landlord's policy)
  • Your car (an auto policy)

More guides

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