How Much Personal Property Insurance Do I Need

According to Insurance.com, if you have a mortgage, your lender will require a minimum amount of dwelling and liability coverage. That coverage protects your investment—as well as your lender’s..... Generally, home insurance companies will set the default proportion of personal property insurance at 75% of your dwelling coverage. So if your house's RCV is $500,000, then your personal property limit will be set at $375,000. Whether this default amount is suitable to your needs depends on the total value of your possessions.. How much personal property coverage do you need? Homeowners insurance also includes personal property coverage of around 50% to 70% of your dwelling coverage amount. If your dwelling is insured for $450,000, your personal property coverage limit will be anywhere from $225,000 to $315,000.. Get a personal property value estimate. Whether you live in a home, apartment, or condo, personal property coverage is one of the most important aspects of your insurance. It's essential to be knowledgeable about accurate replacement costs so we can best serve you in the event of a covered loss.. You should have enough liability insurance to protect your assets. Most homeowners insurance policies provide a minimum of $100,000 worth of liability insurance, but higher amounts are available and, increasingly, it is recommended that homeowners consider purchasing at least $300,000 to $500,000 worth of liability coverage..

To see average renters insurance rates by ZIP code for 75 different coverage levels, including those with personal property limits of $20,000, $40,000, $60,000, $80,000 and $100,000, use Insurance.com's average renters insurance rates tool. It also shows the highest and lowest rates fielded from up to six insurers,.... According to Assurant, a property insurance company, the national average cost of a liability-only renters insurance policy with a coverage limit of $100,000 is about $11 per month, or $132 per year..

Bottom Line:  For personal liability, coverage will start at $100,000, which means your insurance company will pay up to $100,000 in legal fees, medical bills, or damages per claim.  You might need to check with your landlord or your building association to see if there are any specific requirements for your personal liability coverage.. Most policies provide liability coverages of $100,000 to $300,000. However liability lawsuits costs can easily exceeds these amounts. For this reason, consider an umbrella policy that offers higher amounts of liability up to $5,000,000..