No state in the United States requires by law that renters have a renters insurance policy—Still, the decision to purchase renters insurance is one that you won’t regret. In some cases, getting renters insurance is a personal decision. In other cases, landlords will state in your lease that it is mandatory to have a policy. Regardless of your situation, renters insurance protects you from financial issues as a result of unfortunate incidents in your rental, such as kitchen fires, damage caused by neighbors, theft, and more. Below, we discuss what exactly renters insurance entails, as well as how you can get it for a low price. Additionally, we list the average monthly price of renters insurance across the nation, including the five most populous states.
What We'll Cover
- What Is Renters Insurance & Do I Need It?
- How Can I Find Cheap Renters Insurance?
- The Price of Renters Insurance in the Top 5 States
- The Price of Renters Insurance in California
- The Price of Renters Insurance in Texas
- The Cost of Renters Insurance in Florida
- How Much is Renters Insurance in New York?
- The Price of Renters Insurance in Illinois
- The Seven Most Expensive States for Renters Insurance
- The Monthly Cost of Renters Insurance by State
- Final Thoughts on How to Get Affordable Renters Insurance
What Is Renters Insurance & Do I Need It?
Renters insurance is similar to homeowners insurance, but for rental spaces. It provides liability coverage and protects your personal belongings in your rental space, whether it be a home, apartment, or condominium. While it may not be mandatory that you have renters insurance, it is something that you should strongly consider. The good news is that renters insurance is relatively cheap compared to other insurance policies that you need. While the national average cost of car insurance is $1,592 a year, the average annual cost of renters insurance is only $228. The affordability of renters insurance provides even more reason as to why you should purchase it. For an average of $19 a month, you can financially protect yourself, your guests, and your belongings from incidents that occur in your rental space.
How Can I Find Cheap Renters Insurance?
You can find cheap renters insurance by looking at insurance providers that offer low premiums. For example, Lemonade offers renters insurance with monthly premiums starting as low as $5. You should also see if you can receive discounts for bundling your renters insurance policy with another policy. Another way to potentially lower the cost of renters insurance is by increasing your deductible so that you can lower your monthly premium. Although finding cheap renters insurance may seem like a time-consuming and difficult process, it’s actually really easy. In fact, insurance comparison sites can do most of the grunt work for you. When you click the button below, you can enter your zip code and be transferred to BestInsurer—a site that makes finding cheap insurance near you easy and quick. There, you will receive a personalized list of insurance providers in your area, as well as their rates. This process makes finding affordable renters insurance painless.
The Price of Renters Insurance in the Top 5 States
The cost of renters insurance varies depending on several factors like your location, age, marital status, and proximity to a fire station. For example, if you live in a big city, the price of your renters insurance may be higher because big cities typically have higher crime rates. Since you’d be more likely to file a claim, your insurance provider might charge you more. Below, you will find information on the price of renters insurance in the five states with the highest populations: California, Texas, Florida, New York, and Illinois.
The Price of Renters Insurance in California
The average monthly cost of renters insurance in California is $16, or $192 annually. This cost is higher than the national average, but there are still plenty of affordable options that will give you great coverage and discounts. When looking at renters insurance in California, you should keep three factors in mind: affordability, coverage, and customer service. The top picks for renters insurance in California are State Farm and Liberty Mutual.
Cheap Option: State Farm
In California, one of your cheapest options for renters insurance is StateFarm, which estimates to be around $13 a month. Earthquake coverage is a must for a renters insurance policy in California. At State Farm, you can find reliable and affordable earthquake coverage.
Better Option: Liberty Mutual
Like State Farm, the average monthly cost of renters insurance in California with Liberty Mutual is $13. Liberty Mutual offers great coverage options and customer service. Keep in mind that location plays a big role in the price of your renters insurance. If you live in Fresno, Los Angeles, or Oakland, Liberty Mutual may be cheaper than State Farm.
The Price of Renters Insurance in Texas
Texas has one of the highest average monthly costs of renters insurance in the nation, at $26. This is partly due to the fact that Texas is subject to several natural disasters, including tornadoes and hurricanes. Nevertheless, the two cheapest options that you can find in Texas for renters insurance are Lemonade and Travelers.
Affordable Option: Lemonade
Lemonade offers some of the cheapest insurance products in the nation, including Texas. At an average of $18 a month, Lemonade can offer you affordable renters insurance with coverage for your personal belongings and more. Plus, Lemonade’s app is user friendly and quick.
Better Pick: Travelers
Travelers renters insurance also costs an average of $18 a month. If you’re looking for the biggest range of coverage options Travelers is your best bet. However, it’s important to note that with Travelers, policyholders must pay for a full year upfront.
The Cost of Renters Insurance in Florida
Florida is among one of the most expensive states for renters insurance. In Florida, an average cost of $29 a month will protect your belongings and provide personal liability coverage in the event of an emergency. It’s important to include in your renters insurance policy coverage for floods, which are common in Florida.
Cheap Option: GEICO
GEICO typically offers some of the cheapest coverage in the nation, including in Florida. The average price for renters insurance with GEICO in Florida is $14, one of the cheapest rates in the state. Geico offers great coverage, including up to $50,000 in personal property coverage.
Better Option: UPC Insurance
Living near the coast is one of the factors that can increase the price of your renters insurance. UPC Insurance is one of the few insurance providers that offers affordable rates for living near the coast. In addition, with UPC Insurance you can get private flood coverage between $300,000 and $750,000.
How Much is Renters Insurance in New York?
Contrary to what you might believe, New York actually has a low average monthly cost of renters insurance. At an average of $13 a month, you can find renters insurance that will meet your needs. Some of the cheapest options in New York are State Farm and Farmers.
Cheap Option: State Farm
In New York, you can purchase renters insurance from State Farm for around $10 a month, which totals to $124 a year. Some of the benefits of having this renters insurance policy is working with an insurance provider with a big reputation and decades of experience in the industry. Plus, with State Farm you get ample coverage options.
Our Top Pick for NYC: Farmers
Farmers is slightly more expensive than State Farm in New York, but $12 a month is still an excellent deal. State Farm and Farmers are relatively similar when it comes to coverage options and affordability. However, Farmers’ policies offer a little more protection for highly valuable items.
The Price of Renters Insurance in Illinois
For $14 a month, the average Illinois renter can receive quality renters insurance. You quote will likely depend on where in Illinois you live, but you are more than likely to find an affordable monthly premium. The two best options for renters insurance in Illinois are Liberty Mutual and Travelers.
Cheap Option: Liberty Mutual
The cheap option for renters insurance in Illinois is Liberty Mutual. With this insurance provider, you can get a monthly premium around $12 a month, which is $2 less than the state average. However, you should keep in mind that cheaper insurance providers might not offer all of the coverage that you need.
Better Option: Travelers
The better option for renters insurance in Illinois is Travelers. At an average cost of $14 a month, the price of Travelers is right at the state average. Although it’s slightly more expensive than its competitors, Travelers offers good coverage and customer service.
The Seven Most Expensive States for Renters Insurance
When coming up with renters insurance rates, insurance providers often take into consideration how likely a natural disaster, such as a tornado, earthquake, or hurricane, is to occur in a state. These seven states are all likely to be subject to one natural disaster or another. Four of the following seven states are located in the South, where hurricanes are very common. Additionally, two of the states are located in “tornado alley.” Other factors that come into consideration are proximity to the coast and fire stations.
The seven states with the most expensive renters insurances rates are:
- Louisiana: $37
- Michigan: $34
- Oklahoma: $30
- Arkansas: $30
- Alabama: $29
- Florida: $29
- Mississippi: $27
The Monthly Cost of Renters Insurance by State
Use this chart to see how much the average monthly cost of renters insurance in your state is. Among the states with the highest average are Louisiana ($37 a month), Michigan ($34 a month), and Oklahoma ($30). The states with the lowest average cost of renters insurance are Wyoming ($12 a month), Utah ($12 a month), and New York ($13 a month).
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Final Thoughts on How to Get Affordable Renters Insurance
Renters insurance protects the belongings inside and outside of your rental space. In the event of a fire, theft, or flood, your renters insurance policy can help you pay for costs to repair damages and replace ruined items. Although it might not be legally mandated that you have a policy, it’s best to play it safely and have one just in case. Renters insurance is fairly cheap compared to other insurance products like auto insurance. In this article, you can see the average monthly price for renters insurance for each state. Whether you live in a more expensive state or cheaper state, you can still find affordable renters insurance through discounts and cheap insurance providers, like Lemonade.
You can also find cheap renters insurance by using this form. All you need to do is enter your zip code, and BestInsurer will automate a list of the cheapest renters insurance rates in your area.
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