Renters Insurance Amidst Coronavirus: What to Know

By Victoria Robertson on September 24, 2020

This article is brought to you by GradGuard. We protect college students and their families from the financial risks of college life, like providing a refund for tuition or replacing a stolen backpack when your school may not. When the unexpected happens, GradGuard’s tuition insurance and renters insurance can help you get back on track.

As we continue dealing with the coronavirus pandemic, certain monthly bills and payment plans are beginning to take their toll on a large number of individuals. For this reason, many organizations are eliminating this undue stress by changing, modifying, or otherwise eliminating certainly monthly payments.

One such business is that of renters insurance. For some, not all, temporary payment suspensions have been granted to a number of individuals to assist them in navigating these difficult times.

So who exactly qualifies for such coverage? And what are the stipulations? In other words, what exactly do I need to know when it comes to Renters Insurance amidst coronavirus?

I’m here to help you answer those questions!

Photo Via: Pixabay.com

First and foremost, it’s important to note that direct structural impact in the wake of the coronavirus is unlikely. This is to say, you’re likely not going to need to submit any claims for damages, etc. due to the coronavirus, at least directly.

That being said, your ability to make your payments, what is and is not covered, and utilization of insurance is subject to change as the times change. This is to say that COVID-19 may (and likely will) impact your day to day life, which can, in turn, result in changes as they relate to your homeowners and/or renters insurance.

Financially speaking, many individuals are currently facing coronavirus-related limitations, which is stressful, scary, and results in financial hardship for so many. For that reason, knowing your financial options when it comes to your insurance only helps to navigate this virus and ensure you can make ends meet.

When it comes to making your payments, many insurance companies have offered temporary payment suspensions for their clients that hold homeowners or renters insurance policies. This is in an effort to assist those that are currently undergoing financial hardship due to the coronavirus pandemic. That being said, you should note that this is not always the case, and not all organizations are offering such assistance. To know for sure whether or not your organization is offering it, or whether or not you qualify, reach out to your agent and ask what you qualify for.

In addition, if you find yourself in this group of individuals seeking financial assistance, you should also look into the CARES act for assistance at the government level, as there are various ways in which you can obtain the financial assistance you need through that avenue as well. Again, the government is offering assistance in specific circumstances, so it will take a bit more research to determine what exactly you qualify for and how to apply.

Essentially, many organizations are actually working individually with their customers to determine the most appropriate plan for them, ensuring they are assisting them to the best of their ability.

That being said, if you find yourself experiencing financial hardship and believe that you could benefit from assistance on your insurance payments, reach out to your insurance provider and have a frank discussion to determine what your options are and how to apply for assistance, where necessary.

Again, there are likely to be caveats and other considerations that will vary dependent upon the individual, but putting forth the effort to learn more will only assist you in making your payments on time and keeping your coverage as it should be.

This brings us to the next point, which is the topic of coverage changes.

More specifically, the issue of making, and processing, claims because, though you may not have realized or thought about it, the process has likely changed given the current situation.

According to Forbes, the process is similar to that of typical, natural disaster coverage. That being said, it’s not necessarily the volume of claims that has increased amidst this pandemic, but rather, the availability of agents to investigate, assess, and process these claims.

To explain by example, let’s say you are submitting a claim for flood damage due to a recent storm. Your basement is now underwater and you need immediate assistance as you don’t have the financial ability to take care of it without help from your insurance agency. The damage is entirely unrelated to COVID-19 and therefore you don’t foresee any issues in processing this claim. You’ve had to submit such claims in the past, and the process was a breeze.

However, your state is currently enforcing a stay-at-home or shelter-in-place order prohibiting your insurance agency from opening their office. While they still have a select number of staffers working remotely, they have been instructed to only complete the work that they are able to from their home office.

Given the combination of the shelter-in-place order and the specifications set forth by their own employer, they are unable to investigate your claim in person, which poses a problem.

Dependent upon your insurer, this could mean a variety of things. For one, it would mean that your claim is entirely virtual, in which you and an assessor need to video conference and assess/report the damage that way. For others, it could mean that you simply need to submit photo evidence. In other situations, this could mean that your claim cannot be processed or reviewed until the shelter-in-place order is lifted and an agent can get out to your property to evaluate the damage.

While the above outlines the most extreme of circumstances, such limitations may, in fact, result from the COVID-19 crisis. So while insurance companies, and renters/homeowners insurance, more specifically, aren’t necessarily impacted directly by the crisis, their ability to complete their job quickly and efficiently may be compromised.

That all being said, there is another circumstance in which insurance processes can be made easier. If you have homeowners insurance, you’re likely offered less flexibility than those that obtained renters insurance. That is to say, individuals with renters insurance have the added luxury of less necessity for investigation, and therefore more ability to remotely handle any claims.

For renters insurance, as is the usual practice even prior to the coronavirus, claims processes are typically handled virtually regardless, ensuring more efficient processing. There are very rare circumstances in which companies will send an agent to process a renters insurance claim, which is the stark difference between holding homeowners insurance and renters insurance.

If you hold homeowners’ insurance, property investigation is more than likely a requirement that could impact your ability to submit and process your claims. This means that, if you own a home and have insurance, your claims require a different level of investigation than an apartment theft would.

This brings us to the next topic of discussion, which is the stay-at-home order in a more general sense and how it’s impacting individuals and the need for submitting claims.

Many states have imposed this order, and, in doing so, numerous Americans are working from home and otherwise staying at home all day, every day. This also means that many individuals that weren’t spending large amounts of time at home previously are now spending entire days at home.

Insurance companies suggest that such a change in routine may actually impact the number of claims coming in, as the typical wear and tear on a house or apartment is aggravated given the number of times families and individuals are staying at home.

It’s something that’s unprecedented, and those that spent little time at home before are more likely now to spot damages they weren’t previously aware of, to create new damages or otherwise submit more claims than they typically would.

This can essentially be anything from the delivery person falling on your property and hurting themselves (i.e. serious injury such as a broken bone), to a robbery to a kitchen mishap that results in a fire, flood or other property damage that would require the submittal of a claim.

The truth is, the more time you spend at home, the more likely something is to go wrong within the home, and therefore the more likely you are to need to submit a claim. This isn’t to say it will happen, just that it’s more likely and therefore another change to consider when dealing with insurance.

With that being said, this won’t be the same for everyone, and may not impact you at all. But if you do find yourself in this predicament, be patient and understanding and recognize the process may take quite a bit longer than usual, given the current circumstances.

Finally, in terms of coverage, you should talk with your insurance provider to determine what you do and do not need during this pandemic.

For one thing, some may not qualify for assistance, but still face financial struggles and want to cut back their monthly payments. If you find yourself in this category, you can always look into your current coverage and remove anything you don’t believe you’ll need. This being said, you should talk with an insurance provider before making any decisions, as they’ll have the best recommendations to assist you with your needs, and are more than familiar with their offerings and assisting people financially with their programs during the pandemic.

Additionally, you can talk to an insurance provider to determine if there is any additional coverage you may need. Liability insurance is huge, especially given the number of individuals delivering food, packages, and other goods to your property during the pandemic. On top of the typical injuries that could result (i.e. slipping on ice, twisting an ankle, having something fall on them) many also worry about the spread of Covid-19, not only from delivery persons to individuals in the house but also vice versa.

So let’s take, for instance, a delivery driver that is handing off a pizza. The individual sets it on the front step and walks away before you come out to retrieve the food. There is likely very little, if any, liability here, so concern should be minimal.

That being said, let’s take that same delivery driver and now consider the likelihood of contact during the delivery. Let’s say that you step out to take the pizza, and though the driver is wearing a mask and gloves, you are not. Now, are you liable?

Photo Via: Pixabay.com

Now what if that delivery driver isn’t wearing a mask and gloves, but you are? Or what if neither of you is wearing personal protective equipment?

The scenarios and questions in this regard can go on forever, which is why there are never-ending questions related to COVID-19 and what exactly homeowners and renters are liable for.

While different insurance providers will likely have different recommendations, the likelihood of spreading the disease is minimal, especially if there’s no contact with these individuals. That being said, liability is always an important question, and should certainly be considered, especially in these circumstances.

Speaking with your insurance provider can help you to assess the information that you need in a way that you are confident in your coverage. Everyone has different coverage, and everyone has different questions, so the most productive way to get answers is to give your agent a call and have an honest and frank discussion about your options, coverage, ability to submit claims, etc.

The coronavirus pandemic is a game-changer and something that we’ve never experienced before. For this reason, we need to note that it’s new and everyone is doing their best in terms of managing their own stresses and concerns will still attempting to do their jobs to the best of their abilities.

Stress is high, as is the level of concern, and you aren’t alone in questioning what’s available to you in terms of financial resources. At least in terms of insurance companies, hopefully, this is a strong start in ensuring you understand the options out there and what questions you should be asking your insurance providers.

It boils down to this: just because you have questions doesn’t mean that they have to go unanswered. Reach out to your local agent and discuss your options, it will leave you feeling better, if not also more well informed.

It’s no secret that college costs a lot of money. Make sure your investment in higher education is protected with GradGuard. Our affordable tuition insurance and renters insurance plans are specifically designed for college students. Customizable plans make it easy to protect your tuition, room and board, laptop, bike, and so much more.

Follow Uloop

Apply to Write for Uloop News

Join the Uloop News Team

Discuss This Article

Get Top Stories Delivered Weekly

Back to Top

Log In

Contact Us

Upload An Image

Please select an image to upload
Note: must be in .png, .gif or .jpg format
OR
Provide URL where image can be downloaded
Note: must be in .png, .gif or .jpg format

By clicking this button,
you agree to the terms of use

By clicking "Create Alert" I agree to the Uloop Terms of Use.

Image not available.

Add a Photo

Please select a photo to upload
Note: must be in .png, .gif or .jpg format