This Morning: Should college students have renters insurance?

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It’s back to school for students at Michigan State University.

As they head back to class today, insurance agents say parents might want to consider renters insurance.

Between furniture, electronics, and clothing.. it’s a lot to keep track of.

But once it’s all unpacked, how do you keep it protected?

“All the time we get calls, people moving in. We need to get some renters insurance,” says Kaine Diver, Insurance Agent and Owner of The Diver Agency Farm Bureau Insurance.

He urges parents to look into their homeowners or renters policy to see what it covers when sending students off to college.

“A homeowners policy, in the policy language it explains that when you leave your premises to live in another location the limits on the policy go down,” says Diver.

He says in a dorm, a students belongings might be covered in a parent’s homeowners policy but at a lower payoff.

However if they’re living off campus, items might not be covered at all.. particularly if there’s a house party, theft, water damage, or apartment fire.

“You never know what’s going to happen,” says Diver.

Diver says renters insurance on average in Michigan ranges around $15 a month and can also cover issues while studying abroad or even identity theft.

In addition, he says liability coverage can pay legal expenses if someone is injured or damages property.

“Maybe my son or daughter causes the fire by accident and there’s a huge 500-thousand dollar lawsuit that arises out of that. As a parent, as a co signer you’re legally obligated to ya know, pay for that,” says Diver.

There are a lot of pros and cons especially when it comes to adding extra costs but it’s up to your family to decide what’s best.

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