Allstate Renters Insurance Review of 2024: Overview, Costs, Coverage, Discounts & Policy

Allstate Renters Insurance Review of 2024: Is it Worth Your Investment?

An image illustration of Allstate Renters Insurance
Allstate Renters Insurance Review of 2024: “Discover the latest insights into Allstate Renters Insurance in 2024.”

Discover our detailed evaluation of Allstate renters’ insurance for comprehensive insights.

Evaluate coverage, advantages, disadvantages, and customer service quality to make a well-informed decision.

Known for its strong brand presence and extensive history, Allstate offers one of the most inclusive renters insurance policies available.

With competitive pricing, straightforward online quoting process, excellent customer service, and practical coverage options, it ensures protection for your prized belongings.

Renters, even in non-owned apartments, benefit from securing renters’ insurance to safeguard their personal assets.

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How Much Does Allstate Renters Insurance Cost?

Based on insuranceblob findings, the typical expense for a basic renters insurance plan nationwide is approximately $206 annually or $17 monthly.

Allstate’s average rate for a basic renters insurance policy stands at $15.17 monthly or $182.04 annually.

This average is calculated considering coverage of $15,000 for personal property, a $500 deductible, $100,000 for personal liability, and $1,000 for medical payments to others.

By bundling auto and renters’ insurance, individuals could potentially reduce their renter’s insurance premium to as little as $4 per month, offering significant savings.

Allstate’s pricing is notably lower than the national average, yet the exact cost of a policy is contingent upon various factors including location and chosen coverage options.

Opting for additional coverage will naturally increase the premium rate.

The Cheapest Basic Renters Insurance by Provider

Below is a table that shows some of the cheapest renter’s insurance provider according to how they rank.

This can help you determine whether Allstate Renters is worth your investment.

“Allstate Renters Insurance Review of 2024: Is it Worth Your Investment?”

Company National Monthly Average Sample Rate
Lemonade $9.57
State Farm $10.83
USAA $13.70
Allstate $15.17
Amica Mutual $16.35
Liberty Mutual $16.38
Progressive $21.01
Travelers $22.14
GEICO $29.37

Allstate Renters Insurance Standard Coverage

The fundamental renter’s insurance policy offered by Allstate shares similarities with those provided by other insurers.

Renters insurance safeguards your personal belongings from theft and natural calamities.

Additionally, if a visitor sustains injuries on your rented property, renters’ insurance covers their medical expenses and any legal fees in the event of a lawsuit.

In essence, renters’ insurance operates similarly to homeowners’ insurance.

The primary distinction lies in the coverage scope:

While homeowners’ insurance protects the entire dwelling and its structure, renters’ insurance solely pertains to personal belongings.

Therefore, in the event of a disaster like a fire, homeowners’ insurance would finance the reconstruction of the property:

Whereas renters’ insurance does not extend coverage to the building structure, as this is typically covered by the landlord’s insurance.

What Are the Allstate Discounts?

The initial low rate provided by Allstate may increase as the basic renter’s policy might not offer adequate protection for your personal belongings.

However, Allstate provides numerous substantial discounts that can ultimately lower your rate.

In comparison to many competitors, Allstate offers a wider array of discounts.

Below are some of the most favored discounts:

Multi-Policy Discount If you bundle renters and auto insurance from Allstate, you’ll get 10% off your auto policy and 25% off your renters’ policy.
Safe Home Discount If you have safety features in your rental, like fire alarms, deadbolts, and fire extinguishers, you can save up to 15% on your policy. That’s because if your rental is safe, the less likely you are to make a claim.
Easy Pay Plan If you set up automatic payments and link it to your bank account, you’ll save 5% on your policy.
Claim-free If you have never filed a renters insurance claim, you can save up to 20% on your policy. That amount will increase each year you stay claim-free.
55 and Retired Discount If you’re retired and are at least 55 years old, you can save 25% on your policy. Allstate is one of the only insurance providers that offer this tremendous discount.

Optional Coverages

Similar to many other insurers, Allstate provides additional coverage options at an extra cost, such as identity theft protection and umbrella coverage.

Unlike some insurers, Allstate covers water damage and offers comprehensive coverage for damages resulting from sewer issues.

Additionally, with Allstate, policyholders have the option to purchase riders that can fully cover the cost of high-value items like jewelry, which typically have a capped coverage limit of $1,500 per item in a standard policy.

Most Popular Coverages That Allstate Has to Offer:

An infographic illustration of Allstate Renters Coverages

  • Identity Theft Restoration:

This coverage reimburses expenses incurred if your identity is stolen, covering costs such as unauthorized credit card charges.

It also includes credit report monitoring, compensation for lost wages, and coverage for legal fees.

  • Personal Umbrella Policy:

This ensures that policyholders do not have to cover medical or legal expenses personally if they are deemed liable for damages under specific circumstances.

The umbrella policy offers liability protection that extends beyond the usual policy limits.

  • Increased Coverage on Business:

If you store business records or other items related to your business, like samples, at home, you can protect them with this additional coverage to ensure their safety.

  • Uninsured | Underinsured motorist:

This additional coverage safeguards you in the event of an accident involving an at-fault driver who either lacks liability coverage or has insufficient coverage.

Availability of this coverage is limited to certain states.

  • Scheduled Personal Property:

While a standard policy typically includes coverage for a renter’s personal belongings, it may only offer limited coverage for certain types of valuable items.

Typically, personal property coverage starts at a minimum value of $15,000 or $30,000, which may not fully cover expensive jewelry.

However, by having your jewelry or other high-value items appraised, you can schedule them separately.

Scheduled personal property coverage is an optional add-on that allows you to increase your coverage and protect against additional risks, such as accidental loss of a fur coat.

In the event of theft or loss, scheduling these items ensures that you’ll receive the full replacement cost.

Replacement Cost Coverage & Actual Cash Value Add-ons

Regrettably, Allstate’s standard policy does not include replacement cost coverage.

Should you require this additional protection, it can be obtained as a supplementary feature.

Actual Cash Value (ACV)

If your belongings require replacement due to damage caused by a covered peril, the standard policy will only compensate you for the depreciated value, known as Actual Cash Value (ACV).

For instance, if a fire destroys your laptop that you bought four years ago for $1,000, ACV will only reimburse you $400, reflecting its depreciation over time.

Replacement Cost Value (RCV)

Opting for Replacement Cost Value (RCV) entails a higher cost compared to ACV, but in the event of a catastrophic loss, you’ll appreciate the benefits.

With RCV, your insurer will reimburse you based on the current replacement value of your belongings, without factoring in depreciation.

Ultimately, RCV surpasses ACV as it fully covers the replacement cost of your damaged items, without depreciation deductions.

The key point is that you can add numerous endorsements or coverages as needed.

However, to ensure your personal property is fully covered, it’s advisable to obtain coverage that matches or exceeds the value of your items.

Alternatively, if you’re willing to take the risk to save money, you can opt for coverage with a limit lower than the value of your possessions.

What are Covered Perils Included in Allstate’s Renters Policy?

A covered peril refers to a calamity for which your renter’s insurance provides coverage.

In the event that such a peril causes damage or loss to your personal belongings or valuables, your insurance company will compensate you for the incurred losses.

Allstate’s Covered Perils:

  • Fire.
  • Wildfires.
  • Smoke.
  • Wind damage (including hurricanes).
  • Tornadoes.
  • Hail.
  • Explosions.
  • Theft.
  • Vandalism.
  • Falling objects (including trees).
  • Leaks.
  • Burst or frozen pipes.
  • Damage from accumulated ice or snow.
  • Volcanic eruptions.
  • Mold caused by another covered peril.

Generally Excluded Perils:

The most common generally excluded perils from a renters policy include:

  • Earthquakes.
  • Floods.
  • Sinkholes.
  • Bed bugs and other infestations.
  • Appliance failure caused by ordinary wear-and-tear.

Purchasing endorsements or riders to your plan can add coverage for excluded perils.

FAQs

Here are some Frequently Asked Questions on “Allstate Renters Insurance Review of 2024:

Q. Does Allstate renters’ insurance cover temporary housing if my rented home becomes uninhabitable?

A. Yes, Allstate renters’ insurance typically includes coverage for additional living expenses.

This can help cover the costs of temporary accommodation if your rented home becomes uninhabitable due to a covered peril like fire or water damage.

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