These days, a lot has been said and debated about the state of the Halifax apartment market. According to the CMHC, in 2020 (the most recent annual report), the average Halifax apartment rent rose 4.1 percent.  That rise surely continued in 2021.

Getting a suitable place to rent is the top priority for apartment hunters.  However, once you secure your apartment and sign the lease, it’s important to be well protected in your new abode. It would be unwise to assume that if something does go wrong that your landlord will cover everything. If you rent an apartment, tenant insurance is always a wise decision.

What is Tenant Insurance?

First, let’s clarify some terminology. Tenant insurance is sometimes called renter’s insurance or apartment insurance. It is all the same thing. Tenant Insurance is a type of home insurance that you purchase when you do not own the dwelling where you live but rather rent it. As a renter, your risk is significantly lower than that of a homeowner. However, there are risks being a renter.  The good news is that Tenant Insurance is one of the cheapest insurance types on the market, and rates can be as low as $15 – 25 per month.

Is Tenant Insurance mandatory in Nova Scotia?

The short answer is no; tenant insurance is not legally mandatory in Nova Scotia. However, many property managers won’t lease their units without apartment or renter’s insurance coverage in place. As a result, in most renting scenarios, you need tenant insurance.

What does Tenant Insurance Cover?

Like home insurance, tenant insurance includes coverage for things that matter and risks that can be unfortunate if they occur.  We have a lot more information about tenant insurance coverages on our web page.

Personal liability.

If an accident on your property causes financial harm to a visitor or non-resident, the policy’s personal liability coverage can help cover lawsuit and settlement costs. For example, if a guest slips, falls, and injures themselves on a wet floor in an apartment you’re renting, tenant insurance will shield you from the financial fallout of a potential lawsuit.

All your stuff and the contents in your apartment.

This includes your furniture, your clothing, your appliances, sporting equipment and anything that can be found within the confines of your apartment. The only exceptions are high-value items such as jewellery and fine art, which require separate, specific coverage. Tenant insurance typically won’t cover replacement costs above a certain amount for costly items (i.e. jewelry). To make sure you’re covered for the things that matter most to you, it’s essential that you read the policy thoroughly.

Coverage for additional living expenses.

If anything happened, and you couldn’t stay in your apartment, a tenant insurance policy would reimburse the expenses incurred from staying in a hotel while your apartment was inaccessible due to a covered incident.

Living expenses also include storage costs for your furniture and possessions, moving and displacement costs, furniture rental costs and any increased transportation costs or extra mileage. This includes relocation costs and any additional living expenses you may incur, such as food and accommodations.

If your home is your apartment, everything in it matters to you. When you rent an apartment, it’s crucial to ensure you are well protected, even if you are not required by law or the landlord to purchase tenant insurance. Our knowledgeable insurance advisors will help you get the right tenant insurance policy for you. For more insurance tips, visit our web page to get answers to some of our most frequently asked questions on Tenant Insurance or to request an insurance quote.

~ Your Bauld Insurance Advisors