How a renters policy is rated is no different than how any other homeowners policy is rented. There are several factors that go into the rating mechanism:
Where you live - how far to the nearest fire station and fire hydrant
The construction of the building - is it a brick building or a frame building(which do you think burns easier?)
Safety features - smoke alarms, deadbolt locks, fire/burglar alarms, sprinklers
Your personal Property limit(your stuff) - the higher the values, the higher the premium
Your personal Liability Limit - again, higher limits, higher premium
Personal circumstances - age, credit score, claims history
Renters insurance is really just a homeowners policy without building coverage. It's coverage for you and your stuff. The cost of renters insurance is usually much lower than a homeowners policy because a lot of the premium is generated by the cost of the building.
Some guidelines to get the right renters coverage. Get a good handle on what it would cost to replace your stuff. A good agent can help or you can go to Allstate's website and use their tool (no, I'm not an Allstate agent, I just like their tool). Secondly, choose a higher liability limit. I usually quote at least $300,000 but prefer $500,000 or more. The cost is very negligible.
Be smart, find an agent you can trust and take their advice. If you do have a claim, you'll be happy you did.
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Where you live - how far to the nearest fire station and fire hydrant
The construction of the building - is it a brick building or a frame building(which do you think burns easier?)
Safety features - smoke alarms, deadbolt locks, fire/burglar alarms, sprinklers
Your personal Property limit(your stuff) - the higher the values, the higher the premium
Your personal Liability Limit - again, higher limits, higher premium
Personal circumstances - age, credit score, claims history
Renters insurance is really just a homeowners policy without building coverage. It's coverage for you and your stuff. The cost of renters insurance is usually much lower than a homeowners policy because a lot of the premium is generated by the cost of the building.
Some guidelines to get the right renters coverage. Get a good handle on what it would cost to replace your stuff. A good agent can help or you can go to Allstate's website and use their tool (no, I'm not an Allstate agent, I just like their tool). Secondly, choose a higher liability limit. I usually quote at least $300,000 but prefer $500,000 or more. The cost is very negligible.
Be smart, find an agent you can trust and take their advice. If you do have a claim, you'll be happy you did.