What Is Pet Liability Insurance for Renters, and Do I Need It?

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Q: I’m renting an apartment, and my dog tore up the carpet in a common area. Will my renters insurance cover the cost to replace the carpet? Does a standard renters insurance policy include pet liability coverage?

A: A standard renters insurance policy that many landlords require renters to carry does often offer some protection against damage caused by pets. If a pet causes an injury to someone or damages their property, renters insurance with pet coverage can cover those damages or legal fees under the liability part of the policy. An example might be if a dog bites someone or the dog ruins someone’s expensive family heirloom rug, which is why the insurance product is sometimes called pet damage insurance. However, there are also often optional insurance products that can give added pet liability coverage for renters. Read below to learn more about pet liability insurance.

Renters liability insurance can cover injuries or damages to others caused by a renter’s pet.

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Renters liability insurance is structured so that if a renter’s pet causes injury or damage to someone else or their property, coverage may exist. With a renters insurance policy, pet liability provides coverage if a policyholder’s pet causes injury or property damage to anyone who is not part of the insured’s household. This coverage could apply if a renter’s pet damages a neighbor’s house, yard, or possessions.

Another example in which coverage might apply to a third party is if an insured’s dog bit a neighbor’s child as the child was reaching to pet the dog or if the dog got out and dug up most of the neighbor’s yard.

An umbrella policy can provide additional liability coverage for pets beyond the limits in a renters insurance policy.

Renters policies have limits on the total liability coverage. These limits are the amount of money the insurance company will pay if an insured is found to be liable. According to the Insurance Information Institute (III), liability limits on renters policies generally start at about $100,000, but the III states that it’s often recommended that renters should purchase at least $300,000 worth of protection.

Umbrella or excess liability policies can increase these protection amounts by quite a large sum. Renters can often get an extra $1 million in liability protection for about $200 to $350 per year, according to the III. If a dog causes major damage to someone, the medical bills can mount up, so an umbrella policy might be a good idea for some renters who are looking for renters insurance for pets.

Some insurance companies may offer riders or endorsements to renters insurance policies to cover dog bites or property damage.

When considering renters insurance with pet liability, there are other insurance products for renters to look into if there are concerns about a pet causing property damage or personal injury. Riders and endorsements are added amendments to policies that often expand the coverage of base policies.

While most base renters insurance policies tend to cover pet liability, it’s important to read the policy to see what is actually covered on an individual basis. Some…