Renters Insurance

Loss of use, also called additional living expense, is the part of a renters policy that addresses the extra cost of living elsewhere after a covered loss: a hotel or short-term rental, higher meal costs, and similar expenses above what you normally spend. Two details matter in a wildfire. Many forms also respond when a civil authority prohibits access to your home because of a covered peril nearby, even when your own unit is undamaged, though usually only for a limited period. And the coverage is capped, either as a dollar amount or as a length of time, which is the figure worth knowing before you need it. Because it reimburses actual extra costs, keep receipts from the first day. The loss of use limit is on your declarations page.

No. Both are excluded from a standard renters policy. Earthquake coverage for a renter focuses on your personal property and, importantly, loss of use if the building becomes uninhabitable, which is often the larger exposure for a tenant. Flood is written separately through the federal program or a private carrier, with contents coverage as the relevant part for a renter. Because a renter does not insure the structure, the amounts involved are usually smaller than an owner’s, which also means the cost of adding them is usually smaller.