Question

Which of the following statements is (are) true regarding renters insurance? I. Renters insurance is needed if you rent a house, but is not needed if you rent an apartment. II. The ISO renter's policy provides open perils ("all-risks") coverage on the insured's personal property.

Answer 1

Answer:

Neither of the two statements are correct regarding the renters insurance.

Explanation:

Renters insurance which is also commonly know as tenants insurance, is that type of an insurance policy where a tenant can enjoy some benefits of homeowners insurance, where the personal property of the tenant is covered against fire , theft etc. Renters insurance can be taken on a house ,apartment , a condo etc. But it is to be noted that this policy won't cover the structure itself and  if the personal property is damaged because of flood , it won't come under the insurance policy.