Why Renters Still Need Insurance
If you rent, your landlord's building policy covers the structure — walls, floors, fixtures — but it does not cover a single item you own. If a fire, burglary or burst pipe damages or destroys your furniture, electronics or clothing, contents insurance is the only thing that pays out.
What Contents Insurance Covers for Renters
A standard contents policy covers your belongings against fire, theft, storm, and (usually as an add-on) accidental damage — whether they're damaged inside your rental or, with 'portable contents' cover, away from home. It typically also covers your liability if a guest is injured in your rental due to your negligence.
Why It's Cheap
Because renters aren't insuring a building, contents-only policies are among the least expensive types of home insurance — often a few hundred dollars a year for a typical unit or share house, though the actual premium depends on the total value of what you own.
A Few Renter-Specific Tips
- Photograph or video your belongings room by room before you need to make a claim, not after
- Check whether your landlord's insurer will hold you liable for damage you cause — some contents policies include personal liability cover that protects you here too
- If you move often, look for a policy that lets you update your address without a new application each time
This page is for educational purposes and isn't personalised financial advice. Premiums, terms and eligibility vary by insurer, state and individual circumstances — always check the Product Disclosure Statement (PDS) before buying.