Tenant insurance in PEI (also called renters’ insurance) is meant for people who rent the place where they live, whether home, condo, or apartment. It provides coverage against common risks like theft, fire damage, and personal injury that occurs on the property.

Insurance is necessary because a landlord’s home insurance policy won’t cover these perils on behalf of the renter. You want to be covered in case something happens to your home or your belongings.

The following things are generally covered by the best tenant insurance in Prince Edward Island :

1. Contents

If your belongings are damaged or stolen while in your rental property, tenant's insurance in PEI will help cover the cost of replacement or repair.  

This is among the most important aspects of tenant's insurance since most people don’t have the money to replace thousands of dollars in lost items out-of-pocket.

1. Liability

If an accident on your property causes financial harm to a third party, tenant’s insurance with personal liability coverage can help cover lawsuit and settlement costs. 

For example, if a guest slips, falls, and injures themselves on a wet floor in an apartment you’re renting, your insurance policy will shield you from the financial fallout of a potential lawsuit.

1. Relocation cost reimbursement

If the property you’re renting is rendered uninhabitable, tenant insurance will help shoulder the costs of relocating, and your living expenses.

For example, if you’re forced to stay at a hotel for a few weeks because your rental apartment flooded, tenant insurance may help with your hotel bill along with the cost of purchasing meals and other living expenses.

Tenant insurance in PEI typically won’t cover replacement costs above a certain amount for extraordinarily expensive items (i.e. jewelry). To make sure you’re covered for the items that matter most to you, it’s important that you read the policy thoroughly. The best insurance broker can help you find the exact policy you need.

Tenant insurance is not mandatory at the provincial level, however many property managers won’t lease their units without tenant insurance coverage in place. Renters in PEI can expect that getting a personal insurance policy quote is a part of renting.

The cheapest tenant insurance provider depends on how your situation fits into the formula companies create to evaluate policyholders. For example, some insurance companies might weigh your age more heavily than others. This is why it’s a good idea to compare insurance companies with Surex. The cheapest online insurance provider isn’t always evident.

Many policies hover around the $20 to $50 range. Since there’s no minimum coverage requirement, you can achieve lower rates by purchasing only the coverage you need. Think about your personal belongings and get the policy and the coverage you need.

Tenant insurance is rated based on the type of unit you rent, number of tenants in the unit, value of your contents, physical location of the unit, prior tenant or home claims in the past under your name.

You’ll need to provide basic information about yourself and the property you’re renting if you want to get insurance online over over the phone, including:

• The address
• The cumulative value of your personal property
• Who else will be occupying the rental property (you want to make sure that all renters are covered under their own policies.

The law does permit landlords to include an insurance policy as a lease requirement. Many landlords do so as a tenant’s policy serves to reduce their overall risk.