Homeowners insurance blog

Sublet Us Answer Your Insurance Questions

College graduation is just around the corner, and you’re about to enter the real world. Whether you have a job locked down or you’re searching for one, you could be moving to a new city in the months ahead. One of the biggest struggles of moving to unfamiliar territory is finding a place to live.

Searching for a home, condo, or an apartment in your price range can be a daunting task. Rent prices are steadily rising, which has led to a rise in people choosing to sublease or sublet living quarters. If this is the route you choose, here are some tips:

Don’t skip the paperwork

If you’re subleasing from someone, verify that the landlord is aware of the situation. The last thing you want is to be part of some sort of scam and end up overpaying for your share of the place.

Another way to protect yourself is to sign a sublet agreement. This agreement will outline things such as rent, bills, agreed-upon rules such as no smoking in the apartment, and the number of days’ notice required before one roommate decides to move out.

Though these seem like small agreements, it will allow you to split payments down the middle and hold one another accountable. This step is crucial.

Make sure you’re covered

When you sublease from another renter, you could be at a disadvantage. If your roommate has renters insurance and you’re not listed on it, your possessions are in a vulnerable position. Renters insurance only covers liability and repair or replacement of possessions for individuals listed on the policy.

If your roommate does have renters insurance, look it over with her or him prior to moving in. It’s important for you to fully understand the policy. Adding another person on the policy could affect the coverage or costs, so be aware of potential changes. After reviewing it, be sure that you’re listed on the policy – witness your roommate doing so in order to know that you’re also covered in case of an emergency.

If your roommate does not already have renters insurance, the two of you need to compare providers and find the policy that best aligns with your needs. Opting not to purchase renters coverage is a dangerous move.

Landlords often have insurance, but it usually only covers the structure of the building that they own. If your apartment is ruined by a fire, the building itself will be protected, but you’ll be left paying to repair or replace all of your possessions out-of-pocket if you go without renters insurance.

Another option is to purchase a separate renters insurance policy for yourself. This will provide you with separate coverage for your possessions and protect you in situations when someone is injured while on your property.

This coverage is available even without a signed lease agreement and would merely require another form for proof of address. Speak with a licensed insurance agent to find out which option is best for your particular situation