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The Best Rental Insurance Companies of 2022: The Top Providers Reviewed and Ranked

The Best Rental Insurance Companies of 2022: The Top Providers Reviewed and Ranked
The Best Rental Insurance Companies of 2022: The Top Providers Reviewed and Ranked [ photo ]
Published May 18

Choosing an affordable rental insurance policy that meets your needs and satisfies your landlord’s requirements doesn’t need to be confusing. The best insurance protects against fire, theft, and certain natural disasters. Our list of seven insurance companies breaks down the coverage levels and discounts of some of the most well-known insurance companies. Here is everything you need to know about choosing a renter insurance provider.

Best Rental Insurance Companies

  • Lemonade – Best for Customized Rental Coverage Options
  • Erie Insurance – Best for Comprehensive Rental Coverage
  • Nationwide – Best for Add-On Rental Coverage Options
  • Amica Mutual – Best Rental Insurance Discounts
  • Allstate – Best Rental Insurance for People Over 55
  • Auto-Owners – Best for Worldwide Rental Coverage
  • State Farm – Best for Reliable Rental Insurance Coverage

1. Lemonade – Best for Customized Rental Coverage Options

Pros of Lemonade Rental Insurance:

  • Offers affordable rates for all types of coverage
  • Straightforward claims processing through the mobile application
  • Some claims processed in as little as 5 minutes
  • Customizable limits and deductibles

Cons of Lemonade Rental Insurance:

  • No replacement cost policy options
  • Coverage is not available in 22 states
  • More consumer complaints than other similar companies

Lemonade is an online insurance provider with a different business model than other companies. Lemonade takes a fixed percentage of client premiums to cover overhead expenses and uses the remaining funds to cover claims. It donates leftover money to charities at the end of the year.

Cost of Lemonade Rental Insurance Policies: 4.9/5

The company says its plans start at $5 per month, but your rates depend on many factors, including your location and the coverage you select. Your rates may be higher if you live in a high-crime area. Living in a secure apartment complex or a single-family home may lower your rates.

Available Discounts on Lemonade Rental Insurance: 4.7/5

Lemonade offers various discounts for policyholders to keep premiums affordable. You can save money if you bundle another Lemonade policy with your rental insurance or your home has specific safety devices, including a home security system or smoke alarms.

Lemonade Rental Coverage Options: 5/5

Lemonade is an excellent choice for those who want to customize their coverage options. The company allows you to personalize deductibles and coverage limits to increase savings. Coverage options include personal property, loss of use, liability, medical payments, and more.

Lemonade Rental Insurance Customer Service: 4.5/5

Clients can contact Lemonade customer service via phone, email, or mobile application. The company’s Maya chatbot answers frequently asked questions. It is important to note that Lemonade has more customer complaints than other similar insurance providers, but plenty of customers still left favorable online reviews.

Lemonade Rental Insurance Claim Processing Time: 4.8/5

You can file a claim on the company’s mobile application by recording a video describing the situation. While Lemonade says that it resolves claims in as little as five minutes, more complicated claims may take longer. Lemonade says it processes 30% of claims instantly.

Overall Score of Lemonade Rental Insurance: 4.6/5

Get a Lemonade rental insurance quote!

2. Erie Insurance – Best for Comprehensive Rental Coverage

Pros of Erie Rental Insurance:

  • Discounts for bundling policies
  • Extended personal liability coverage available
  • Basic policies have identity theft protection

Cons of Erie Rental Insurance:

  • Coverage options vary by state
  • Only available in 12 states
  • Lack of online tools
  • Must purchase coverage through a local insurance agency

Erie Insurance only offers coverage in 12 states, but its base policy can be customized to meet your needs. One drawback to consider is the provider’s lack of online tools.

Cost of Erie Rental Insurance Policies: 4.8/5

Erie’s costs are comparable to many similar insurance providers. Still, its base policy includes many extras that other policies do not provide, including worldwide personal property coverage and extended liability protection.

Available Discounts on Erie Rental Insurance: 4.7/5

There are several discounts available through Erie. You may be eligible for discounts on your policy if you have an alarm in your home, are at least 45 years old, or bundle multiple policies together.

Erie Insurance Rental Coverage Options: 5/5

Erie is a good choice for those looking to customize their coverage. You can choose between many add-on options, including loss of use, personal property, medical payments, and liability. You can tailor your deductibles and policy limits to increase your savings.

Besides the basic options, you can add optional coverage, including sewer and drain backup, home-sharing for those who rent out their properties, flood insurance, and earthquake coverage.

Erie Rental Insurance Customer Service: 4.5/5

Customers can use Erie’s website to make payments, contact an agent, or track claim payments. However, it is not possible to file a new claim or get a quote online. You can contact Erie’s customer service via email, phone, or the mobile app.

Erie Rental Insurance Claim Claim Processing Time: 4/5

Your claim processing time will vary depending on factors, including the case’s complexity, your location, and your coverage type. However, the company reports it takes an average of 30 days to resolve most claims.

Overall Score of Erie Rental Insurance: 4.2/5

Compare Erie Insurance to the competition!

3. Nationwide – Best for Add-On Rental Coverage Options

Pros of Nationwide Rental Insurance:

  • Premium discounts for insurance bundles
  • Various methods to file insurance claims
  • Up to two years of additional living expense overage

Cons of Nationwide Rental Insurance:

  • Coverage is unavailable in Oklahoma, Massachusetts, Louisiana, Hawaii, or Alaska
  • Limited customer service hours
  • Higher-than-average monthly premiums

Rental insurance through Nationwide offers comprehensive protection plus the ability to add supplemental coverage to fit your needs. Keep in mind that policies are not available in five states.

Cost of Nationwide Rental Insurance Policies: 4/5

Nationwide’s costs are higher when compared to other similar providers. Policyholders can keep costs low by bundling coverage and taking advantage of discounts.

Available Discounts on Nationwide Rental Insurance: 4.9/5

Nationwide offers several discounts:

  • Multiple policy discounts if you bundle your rental insurance with your auto or homeowners insurance.
  • Protective devices discount if your property is equipped with fire alarms, smoke detectors, or an alarm system.
  • Claims-free discount if you have not filed any claims for a specific time.

Nationwide Rental Coverage Options: 4.9/5

The provider’s basic policy options can be supplemented with the following coverage:

  • Brand-new belongings coverage to replace stolen or damaged goods.
  • Better roof replacement coverage for the option to replace your roof with higher-quality materials in case of an accident.
  • Water backup coverage provides coverage if backed-up sewers or drains damage your home.
  • Valuables plus coverage protect high-cost items such as jewelry and fine clothing.

Other add-on coverage options include earthquake and theft protection.

Nationwide Rental Insurance Customer Service: 4.5/5

The Nationwide app is available to both Android and iOs users. Policyholders can contact customer service agents online or via phone, email, or the mobile app. Agents are available via phone from 8 a.m. to 8 p.m. on weekdays. These hours are limited when compared to other insurance providers.

Nationwide Rental Insurance Claim Processing Time: 4/5

It can take a few months to receive a settlement, depending on the complexity of your claim. However, more straightforward requests are typically resolved in a few days.

Overall Score of Nationwide Rental Insurance: 4.4/5

See what Nationwide can do for you.

4. Amica Mutual – Best Rental Insurance Discounts

Pros of Amica Mutual Rental Insurance:

  • Basic policies start at $4 a week
  • Monthly rate discounts after three years of no claims
  • Fewer customer complaints when compared to competitors

Cons of Amica Mutual Rental Insurance:

  • Some discounts unavailable in all areas
  • Coverage is not available in Hawaii and Alaska
  • Not as many discounts as other lenders

Amica Mutual is a solid choice for those looking for affordable coverage and above-average customer service. The company has solid customer service ratings, and live around-the-clock claims processing is available.

Cost of Amica Mutual Rental Insurance Policies: 4.5/5

A basic policy through Amica Mutual costs around $4 a week. You can keep rates low by choosing a basic policy and eliminating add-ons you do not need.

Available Discounts on Amica Mutual Rental Insurance: 5/5

Amica offers many discounts to policyholders to keep rates low. The lender offers a 15% discount when you bundle multiple policies together. Amica also offers a loyalty policy discount for customers who have been with the company for more than two years.

Amica Mutual Rental Coverage Options: 4.9/5

Amica’s basic plan is the Rental Essential package, which is best for first-time rental. The package offers protection for liability, personal property protection, and loss of use. You can add personal property replacement coverage and identify fraud coverage if you want more security.

Amica Mutual Rental Insurance Customer Service: 5/5

Amica rates higher than other insurance providers when it comes to customer satisfaction. The company rates 894 out of 1,000 on the J.D. Power Claims Satisfaction Study. Policyholders can contact agents via phone, email, and mobile application.

Amica Mutual Rental Insurance Claim Processing Time: 4/5

Amica offers 24/7 claims processing, which helps speed up the claims processing timeline. However, the timeline will ultimately depend on the complexity of your case.

Overall Score of Amica Mutual Rental Insurance: 4.6/5

Check out Amica Mutual.

5. Allstate – Best Rental Insurance for People Over 55

Pros of Allstate Rental Insurance:

  • Discounts for people over 55 years of age
  • Bundled policy rates start at $4 a week
  • Add-on coverage options for identity theft restoration

Cons of Allstate Rental Insurance:

  • Application process requires employment data
  • Fewer coverage options compared to other companies
  • More than average number of customer complaints

Allstate is one of the nation’s leading insurance providers, offering auto, homeowners, and rental insurance. Coverage options include personal property, medical bills, loss of use, and liability.

Cost of Allstate Rental Insurance Policies: 4.5/5

On average, Allstate policies are more expensive than the coverage offered by similar providers. However, it provides insurance for those with bad credit and poor driving records. Allstate claims that rental insurance policies start at around $10 a month.

Available Discounts on Allstate Rental Insurance: 4.7/5

Allstate offers many discounts for policyholders over 55, providing up to 25% off regular premium rates. However, you must be seeking full-time employment opportunities to get this discount.

Allstate Rental Coverage Options: 4.5/5

Allstate provides quotes online and allows policyholders to personalize their coverage based on their needs. You can customize deductible amounts, insurer payout limits, and add-on insurance options.

Allstate Rental Insurance Customer Service: 4.5/5

Allstate generally ranks highly in customer service, but the provider does have more customer complaints than other providers of a similar size. The company offers around-the-clock customer service on its mobile app and is also reachable via phone and email.

Allstate Rental Insurance Claim Processing Time: 4/5

The average Allstate claim is resolved in seven days. However, it can take the company up to a month to pay a claim after it is processed. Providing all of the information up front will help speed up your claim.

Overall Score of Allstate Rental Insurance: 4.6/5

Compare Allstate to the competition.

6. Auto-Owners – Best for Worldwide Rental Coverage

Pros of Auto-Owners Rental Insurance:

  • Worldwide coverage offered for liability and personal property
  • Discounts for paperless billing and selecting a yearly premium
  • Few customer complaints compared to other insurance providers

Cons of Auto-Owners Rental Insurance:

  • Quotes not available online
  • Policies unavailable in 24 states
  • Limited policy options

Auto-Owners offers basic coverage suitable for renting an apartment or single-family home in another country. Its worldwide plan options include liability coverage and property liability. You can also add medical payments and living expenses coverage to any policy.

Cost of Auto-Owners Rental Insurance Policies: 4.8/5

Coverage through Auto-Owners costs an average of $136 per year, compared to the national average of $170. Choosing a basic policy option and finding discounts will lower your monthly premiums.

Available Discounts in Auto-Owners Rental Insurance: 4.8/5

Auto-Owners offers multiple discounts, including:

  • Policy bundle discounts
  • Loyal customer discounts
  • Choosing an annual premium instead of a monthly rate
  • Installing safety features in your home
  • Having no claims for a certain amount of time

Auto-Owners Rental Coverage Options: 4.9/5

Auto-Owners offers add-on coverage options, including property replacement cost and water-backup damage. These options can be added to any policy.

Auto-Owners Rental Insurance Customer Service: 4/5

Auto-Owners ranked 900 out of 1,000 on the most recent J.D. Power Claims Satisfaction Study. While there are companies that rank higher, Auto-Owners is not the worst company on the list.

Auto-Owners Rental Insurance Claim Processing Time: 4/5

Auto-Owners resolves most claims within five days. However, remember that your insurance payout may be delayed if you do not provide prompt information to your adjuster.

Overall Score of Auto-Owners Rental Insurance: 4.7/5

See how Auto-Owners Rental Insurance compares.

7. State Farm– Best for Reliable Rental Insurance Coverage

Pros of State Farm Rental Insurance:

  • Inflation coverage offered
  • Supplemental coverage for watercraft equipment and coin collections
  • Numerous discounts available

Cons of State Farm Rental Insurance:

  • Discounts are not available in every state
  • Some policy offerings are not available in every area
  • Higher-than-average monthly limits

State Farm is best known as one of the country’s largest auto insurance providers, but it also offers rental insurance to those living in apartments, condos, and single-family homes. The company provides numerous discounts and coverage options.

Cost of State Farm Rental Insurance Policies: 4.5/5

Based on information from the National Association of Insurance Commissioners, State Farm rental insurance costs about $15 a month for about $35,000 in coverage.

Available Discounts on State Farm Rental Insurance: 4.8/5

Depending on your area, State Farm offers the following discounts:

  • Discounts for bundling auto and rental insurance
  • Discount for installing a home security system
  • Discount for adding pet insurance to your policy

Add-on coverage includes protection for watercraft equipment and coin and comic book collections.

State Farm Rental Coverage Options: 4.9/5

State Farm offers basic rental insurance policies that provide personal liability, property damage, and medical payments coverage. Add-on options include additional liability coverage, earthquake damage, incidental business, liability, and identity theft coverage.

State Farm Rental Insurance Customer Service: 5/5

State Farm rates 880 out of 1,000 on the J.D. Power Claims Satisfaction Study, putting them below other insurance providers.

State Farm Rental Insurance Claim Processing Time: 4.5/5

Some State Farm claims are resolved in as little as 24 hours, while some take weeks to finalize. If your claim is straightforward and contains all of the necessary paperwork, the process should be quicker.

Overall Score of State Farm Rental Insurance: 4.8/5

Get more info about State Farm rental insurance.

How We Selected the Best Rental Insurance Companies

We considered several key factors when choosing which rental insurance companies to highlight. We selected companies based on the following factors:

  • Plan affordability
  • Coverage levels and plan options
  • Available discounts
  • Add-on insurance options
  • Time needed to process claims
  • Average customer satisfaction ratings
  • Customer reviews
  • Plan exclusions and restrictions
  • Customer service options

We used the above factors to examine popular insurance plans and determine the best companies in terms of cost, coverage levels, discounts, and customer service.

Best Rental Insurance Buying Guide

These FAQs can help you better understand rental insurance and which policies may best suit your needs.

What are the Differences Between Homeowners Insurance and Rental Insurance?

Homeowners insurance is for those who own their properties. It protects your personal property and home from damage or theft and often includes personal liability coverage as well. Home financing companies often require homeowners’ insurance. Costs vary, but the average premium costs $100 per month.

Rental insurance is for tenants who are renting an apartment, home, condo, or townhome from a landlord or property management company. It protects the tenant’s belongings from theft or damage but does not provide coverage to the dwelling or primary structure. Rental insurance is more affordable than homeowners insurance, costing about $20 per month on average.

Most landlords require insurance before they will allow a tenant to sign a lease or move into the property. Even if your landlord does not require insurance, it is still a good investment for most tenants.

Do I Need Rental Insurance?

Many landlords require tenants to carry rental insurance with a certain level of coverage before signing a contract. Considering that the average policy costs less than $20 a month, it is good for all renters to purchase a policy. Do not assume that your landlord will cover your expenses in case of theft or natural disaster. You will have to pay for expenses out of your own pocket if you do not have insurance.

How Much Does Rental Insurance Cost?

On average, rental insurance is one of the most affordable types of insurance policies you can purchase. According to the NAIC, the average policy costs approximately $180 annually. Premiums depend on various factors, including:

  • The value of your personal property
  • Where your rental property is located
  • The crime rate where you live
  • The type of coverage you choose

Keep in mind that your premiums can also vary depending on your insurance history and your credit score.

What Is Included in a Rental Insurance Policy?

Many companies allow policyholders to customize coverage to suit their needs. Here are the most common types of coverage available through a rental insurance policy:

  • Personal property coverage: Pays to replace or repair your belongings if they are stolen or damaged in a covered event.
  • Personal liability coverage: Covers the legal costs associated with a covered injury.
  • Medical costs coverage: Pays for your medical costs if you’re injured in your home.
  • Loss of use coverage: Covers your lodging and living expenses if your residence is unlivable because of a covered event.

Is Rental Insurance Required?

Rental insurance is not legally required in any U.S. state. However, it is up to your landlord to choose whether they want to require tenants to have rental insurance.

How Do I Choose the Best Rental Insurance?

The best insurance depends on your needs and your budget. Decide what you want to cover and research the various types of coverage available in your local area, including personal property, medical payments, and liability. Consider your circumstances and the value of your belongings when deciding which type of coverage is best. Research the providers in your local area and ask your landlord if they require a specific provider. While most landlords do not require a particular company, so many offer discounts for specific providers.

Top 7 Rental Insurance Companies Comparison Guide

Lemonade

  • Lowest Rates:$5/month
  • Replacement Cost Coverage: No
  • Optional Coverages: Equipment breakdown coverage and scheduled property
  • Discounts: Safety devices, bundled policies

Erie Insurance

  • Lowest Rates:$5/week
  • Replacement Cost Coverage: Yes
  • Optional Coverages: Sewer and drain backup coverage, identity theft, supplemental personal belongings coverage
  • Discounts: Safety devices, bundled policies

Nationwide

  • Lowest Rates: $5/week
  • Replacement Cost Coverage: Yes
  • Optional Coverages: Identity theft, replacement cost plus, water backup, earthquake, flood coverage, and smart devices
  • Discounts: Safety devices, bundled policies

Amica Mutual

  • Lowest Rates: $5/week
  • Replacement Cost Coverage: Yes
  • Optional Coverages: Personal property replacement, scheduled personal property, and smart devices

Allstate

  • Lowest Rates: $4/week
  • Replacement Cost Coverage: No
  • Optional Coverages: Umbrella coverage, identity theft restoration, flood insurance, and scheduled personal property coverage
  • Discounts: For people over age 55Discounts: Safety devices, bundled policies

Auto-Owners

  • Lowest Rates: $5/week
  • Replacement Cost Coverage: Yes
  • Optional Coverages: Personal property replacement
  • Discounts: Safety devices, bundled policies

State Farm

  • Lowest Rates: $5/week
  • Replacement Cost Coverage: Yes
  • Optional Coverages: Equipment breakdown coverage and scheduled property
  • Discounts: Safety devices, bundled policies

Final Thoughts on Selecting the Best Rental Insurance Company

The best rental insurance company depends on your coverage and the features you need to protect your belongings. Purchasing insurance is not an easy decision, and you want to do your research before choosing a policy to purchase. Research the providers in your local area and see if your landlord offers any discounts for specific companies.

Insurance can help cover your expenses if you experience a home theft or your personal property is damaged due to a natural disaster, plumbing issue, or fire. While some landlords do not require rental insurance, you should carefully consider purchasing a policy before moving into a new home or apartment. In the end, you should choose a policy that is affordable and offers the features you need. starts here.

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