Homeowners Insurance El Dorado Hills, CA

Can a Roommate be an Insurance Problem in El Dorado Hills?

With tough economic times, more homeowners have invited someone to live with them in their home to cut costs. Before you rent a room, you need to check with your home insurance policy to make sure everyone has proper insurance coverage because with one wrong move, and there could be trouble.

Roommates and Homeowners Insurance

There are many insurance providers out there that won’t write an insurance policy in El Dorado Hills for a homeowner who rents out a few of the bedrooms in a home. In a case where the insurance provider won’t write a policy because of multiple renters, a dwelling fire insurance policy will be required. This is a type of coverage that covers specific things like damage from fire or lightning, but won’t cover the contents of the home in case of a theft. This doesn’t mean that you can’t get a policy that covers personal belongings in the home, it just means you will have to get a separate policy for the coverage.
One Roommate and Homeowners Insurance

In a case of renting only one room out in your home, chances are your homeowners insurance in El Dorado Hills will not be affected. However, you need to be aware that having a roommate/renter can expose you to some liability risks. For instance, if the person who lives with you owns a dog that bites someone, then you may be liable. California insurance has its own set of insurance laws, and each insurance company has its own policy language. Therefore, it is important to talk to your insurance agent in El Dorado Hills, and make them aware of the situation before you invite someone to live with you. Your insurance agent in El Dorado Hills will be able to inform you of your insurance options.

Need for Renters Insurance

When your roommate moves in, you will want to ensure the tenant purchases renters insurance. The importance of renters insurance is to ensure a tenant’s personal belongings are covered. If damage to your home and/or the personal belongings inside the home occurs, or if a thief breaks in and steals the valuables within the home, your homeowners insurance policy does not cover your renter’s personal belongings.
Renters insurance will cover your roommate’s possessions and any liability he or she might incur on the property.
Prior to renting out a room, you should make the tenant aware of the importance of renters insurance. Many landlords/landladies make renters insurance mandatory, which is something that you may want to consider as a pre-requisite.

Peterson & Grantham

Peterson & Grantham is California’s largest network of insurance brokers. With the strong relations we’ve formed in the industry, we are able to offer policies up to 30 percent off market value. Aside from exceptional insurance policies at affordable rates, we also have an extensive network of first-rate insurance agents that specialize in homeowners insurance in El Dorado Hills. Our agents are experienced and dedicated to ensuring that our customers have the advice, guidance, and support required to help with insurance needs. Contact us today with any questions or concerns; we are here and happy to assist you with your needs.