Home vs. Renters Insurance: What's the Difference?
Who needs which, what each actually covers, and why renters insurance is cheaper than people expect.
The difference comes down to one thing: do you own the building? Homeowners insurance covers the structure, your belongings and liability. Renters insurance covers your belongings and liability — the landlord insures the building itself.
Why renters insurance is cheap
Because it doesn't insure the dwelling, renters coverage is often a fraction of the cost of a homeowners policy while still protecting your possessions and shielding you from liability claims.
What both miss
Standard policies exclude flood and earthquake — those need separate coverage. High-value items like jewelry may exceed sub-limits and require a scheduled rider.
Pick by your situation
Own your home? You need homeowners. Rent? Renters insurance is inexpensive peace of mind that many landlords now require.
