Source: Insurance Bureau of Canada – www.ibc.ca
While landlords have relatively few legal obligations to compensate tenants for any damage to or loss of their personal possessions, tenants are responsible for damage they may cause to any part of the building in which they live or to others who live or visit there. Basic liability and coverage for your belongings are essential. A fire caused by a defective toaster could cause a great deal of damage not only to your unit and personal property, but to the entire apartment complex, potentially leaving you liable for the full amount of damages.
Contents – your personal possessions, including special limits such as jewelry, coin collections, stamps, and silverware.
Additional living expenses – If damage to your unit by an insured peril makes it unfit for occupancy, and you have to move out while repairs are being made, this policy will insure any necessary increase in living expenses including moving expenses incurred by you, so that your household can maintain its normal standard of living.
Legal Liability – will pay all sums which you become legally liable to pay as compensatory damages because of bodily injury or property damages.
Voluntary medical payments – if you unintentionally injure another person or if they are accidentally injured on your premises. This coverage is available even though you are not legally liable.
Voluntary payment for damage to property – will pay for unintentional direct damage you cause to property even though you are not legally liable.
Tenants packages start at $200 a year for the minimum amount of contents of $20,000, this premium increases with the type of building you’re living in, and the amount of contents you own. If you bundle your auto insurance with a tenants package you will receive huge multi line discounts, which could result in you saving more than $200 year on your auto insurance. If you do the math that means that the insurance company is technically paying you to take out a tenants package. Find more about tenants packages and scenarios where a tenants package would take affect at our blog.