Tenant Insurance in Canada: What Renters Need to Know
A guide to tenant insurance for Canadian renters.
What is Tenant Insurance?
Tenant insurance (also known as renter's insurance) is designed for people who rent their home. It covers your personal belongings, provides liability protection, and may cover additional living expenses if your rental becomes uninhabitable. While your landlord's insurance covers the building itself, it does not protect your personal property or cover your liability, making tenant insurance essential for renters.
What Tenant Insurance Covers
Tenant insurance typically includes three key types of coverage: Contents Coverage protects your personal belongings (furniture, electronics, clothing) against theft, fire, and other covered perils; Personal Liability Coverage protects you if someone is injured in your rental or if you accidentally damage someone else's property; and Additional Living Expenses covers the cost of temporary accommodation if your rental becomes uninhabitable due to a covered loss.
How Much Does Tenant Insurance Cost?
Tenant insurance is one of the most affordable types of insurance in Canada, typically costing between $15 and $50 per month depending on your location, the amount of coverage, your deductible, and any additional endorsements. Many landlords now require tenants to carry insurance as a condition of the lease. The cost is a small price to pay for comprehensive protection of your belongings and liability coverage.
Tips for Getting Tenant Insurance
To get the best tenant insurance: create a home inventory of your belongings and their approximate value; consider bundling with auto insurance for discounts; choose a deductible you can comfortably afford; ask about discounts for security systems or newer buildings; review your policy annually to ensure adequate coverage; and compare quotes from multiple insurers through an independent broker.