Apartment Insurance

One of the first things people arrange for when they move is to have their telephone reconnected. The second item of the agenda is usually to have the cable hooked up. The third issue is often to make sure the mail is rerouted. But the one issue that is always required but most often overlooked is the need for apartment insurance.

The average rate for apartment insurance is approximately $150 annually. For $150 you receive peace of mind. You also fulfill the obligations of your lease. The standard lease used by virtually every Landlord in Ontario states that it is the tenants' obligation to obtain contents insurance for their own residence. The Landlord's insurance normally only covers structural damage and liability if required.

Many tenants falsely assume that the Landlord is responsible for the actions of other tenants. For example: if the tenant above you has a portable washing machine and it floods while in use down to your apartment and destroys your oriental rug, then it is the tenant's responsibility to have insurance; it is not the Landlord's responsibility to cover the cost of the rug under their policy.

In my experience, the majority of incidents where contents were damaged or destroyed in any apartment is the result of the tenants' own negligence or as the result of negligence of another tenant.

In an attempt to make sure that tenants fulfill their obligation to obtain apartment insurance, some Landlords are now refusing occupancy until insurance efforts have been proven. Quite frankly, any Landlord should be commended for trying to eliminate any future potential conflict.

If you can afford your rent, you can afford $12 per month for insurance. It's worth protecting everything you value.

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