With a new school year fast approaching, many college and university students will be leaving the family home for the first time, or moving in to rental accommodation closer to their school. If you’re one of these students (or a parent of one) you need to know the importance of protecting yourself and your belongings with property insurance.
“With all the stress that comes with having your child move away for school, the last thing you want to worry about is a financially stressful situation that could have been avoided,” says Ralph Palumbo, the Insurance Bureau of Canada’s vice president, Ontario Region. “Tenant insurance can protect your child and provide piece of mind to make this transition to school a smooth one.”
Students generally bring expensive personal items such as electronics, computers, and furniture with them to their new home. Furthermore, they may be liable for any damage to the dwelling they are living in while away at school. Some home insurance policies provide coverage for personal property while away at school up to a certain limit, it’s best to check with your insurance representative on your coverage. Without the protection of home or tenant insurance you and your child are vulnerable to loss of damage to those possessions and other liability risks.
Alternatively, as an insurance agent, have you reached out to clients who you know may be in this situation? Reviewing their coverage and suggesting options can be invaluable!
Here are a few insurance considerations for a student leaving home:
- Notify your insurance agent to review available coverages and consider purchasing a tenant’s policy. Each insurance company packages tenant insurance policies differently but they should all include two kinds of coverage – Basic Liability coverage and Contents coverage.
- You could be held responsible if your actions (e.g., leaving the bathtub running) caused damage to your apartment, your neighbours’ apartment(s) or the apartment building itself. Without insurance you would be personally liable for such costs.
- You may also be held responsible for personal liability, if someone is injured in your home – even if it is one that you’re renting. They could sue you for any costs associated with the injury.
- Landlords have relatively few legal obligations to compensate tenants for damage to, or loss of, their personal possessions.
- Keep an up-to-date list of your belongings in case of theft, loss or damage. This will make it easier to settle your insurance claim in the event of theft, fire or other risks.
- All college and university residences have their own requirements and recommendations for students living on campus. Check with your school before you move in.
For more information on insurance training and education, visit ILScorp.com.
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Excerpted from the Insurance Bureau of Canada
