Hi friends, thanks for downloading the Money Girl Podcast. I'm Laura Adams.

When I went off to college, the last thing my parents or I considered was Renters Insurance.

But since then, I've learned the surprising amount of protection these inexpensive policies offer.

In this episode, I'll tell you what renters insurance covers,

and whether students really need it.

If you live in a rented apartment, condo or house,

your landlord's insurance never covers your personal belongings.

That means if something valuable is stolen or a fire destroys everything you own, it's your responsibility, not your landlords.

Since the cost to replace your personal belongings could be much more than you can afford,

having a renter's policy is a smart way to protect your finances.

A renters insurance policy typically gives you the following three types of coverage.

Number one, personal property.

This coverage protects the value of your belongings from a covered event, such as damage

from a natural disaster, theft, or vandalism.

Number two, liability coverage protects you

against a claim or lawsuit if a visitor gets injured.

And three, additional living expenses.

This pays for temporary housing and meals

if you can't live in your rental while damage for a covered event is repaired.

Whether college students need the protections of renters insurance

depends on where they live.

A student who lives at home or in on-campus housing is covered under his or her parents

...