Tenant Insurance – It’s not just Property Coverage!


Did you know that Tenant Insurance offers coverage for more than just personal property?


Many people who are renting feel that it is not necessary to carry Tenant Insurance as they do not own enough “stuff”. However, even if you do not own a large amount of personal property, a Tenant Insurance Policy is beneficial for the additional coverage it provides.


The following are the most significant items covered under a Tenant Insurance Policy:


  • Personal Property
    • The Insurance Company will insure the contents of your dwelling and any other personal property you own, wear or use while on your premises and which are usual to the ownership or maintenance of a dwelling.
    • The Insurance Company will also insure dwelling improvements and betterments made by you or acquired at your expense, in the portion you occupy as a private dwelling


  • Additional Living Expense
    • If your dwelling is unfit for occupancy due to an insured peril, the Insurance Company will cover necessary increases in living expenses (including moving expenses) so that your household can maintain a normal standard of living


  • Personal Liability
    • The Insurance Company will pay sums which you become legally liable to pay as compensatory damages because of unintentional bodily injury or property damage arising out of:
      • Your personal actions anywhere in the world
      • Your ownership, use or occupancy of the premises

*subject to policy exclusions


Most Tenant Insurance policies also include coverage for:


  • Your personal property while it is temporarily away from your premises anywhere in the world
  • The  personal property of any student insured by the policy, who is temporarily living away from home for the purpose of attending a school, college or university
  • Personal property stored in a warehouse is insured for a limited number of days
  • Your personal property while in transit to and at another location within Canada which is to be occupied by you as your principal dwelling (coverage normally applies for 90 days)
  • Property damage to the dwelling:
    • You may apply up to a specified amount of the insurance on your personal property to pay for damage, not including fire damage:
      • to the dwelling directly caused by theft or attempted theft;
      • to the interior of the dwelling directly caused by vandalism or malicious acts;
      • to the dwelling directly caused by vehicle impact while the vehicle is being operated by you;
      • to the dwelling caused unintentionally by you while repairing or maintaining the dwelling or premises.
      • The Insurance Company will also insure loss or damage to the doors and glass that form part of your rental unit, caused by an Insured Peril, if you are responsible under the terms of your leasing agreement.
      • There is limited coverage available for outdoor trees, shrubs, plants and lawns
      • The Insurance Company will pay for loss or damage to foods while contained in a freezer on your premises resulting from the failure of the freezer’s refrigeration equipment caused by:
        • mechanical breakdown of the unit;
        • the accidental interruption of electrical power on or off the premises.
        • Coverage also applies for loss or damage to the freezer itself resulting from spoilage of the foods contained within
        • The Insurance Company will pay up to specified amount to replace or rekey, at our option, the locks on your dwelling or your private passenger automobile(s) including the ignition, if your keys are stolen, provided the theft is reported to the police or law enforcement agency having jurisdiction at the location of the theft


Similar to Homeowner’s and Condominium Insurance Policies, Special Limits of Insurance apply to certain types of personal property.  The limits are the most the Insurance Company will pay for insured loss or damage in any one occurrence. Please refer to our post on Special Limits for more details.


As you can see, a Tenant Insurance Policy provides a significant amount of coverage and goes beyond insuring just your personal property.  Many Insurance Companies offer special Tenant Policies for seniors, student discounts, and new business or claims free discounts for first-time policyholders.  For as little as $20.00/month (or less, in some cases), you can purchase a Tenant Insurance Policy that will provide you with comprehensive coverage and the peace of mind knowing you are protected in the event of a loss.


For more information on Tenant Insurance Policies, or any of your other insurance needs, please do not hesitate to contact us and we would be more than happy to assist you!


Thank you,

The Costen & Associates Team