Best Renters Insurance in NYC
Like many other types of insurance, renters insurance can feel unnecessary. Unlike your cellphone or electric bill nothing bad happens if you don’t pay your renters policy bill.
At least nothing bad happens until something really bad happens — like a break-in at your apartment or an overflowing bathtub that damages your neighbor’s property.
Without renters coverage, you’d be on the hook for all these repairs. The money, the energy, the hassle — it’d all be up to you. In New York City renters insurance is a must.
Why You Need Renters Insurance in NYC
So, why do you need renters insurance? In short – insurance protects your financial life. It doesn’t prevent damage or make your life foolproof. It just helps you pay for stuff when something goes wrong.
Renters insurance, also known as apartment insurance, could help replace your personal belongings and it could help pay medical expenses if someone is injured while in your apartment (even if it’s one of your friends!).
Plus, your renters policy could pay your hotel bill if you have to move out of your apartment because of damage from a fire, storm, malfunctioning appliance, or vandalism.
Most insurance policies have four basic coverage components:
- Personal Property Coverage. This will protect your personal belongings in case of damage or theft. Most insurance companies would not reimburse you if the damage was caused by flooding, but most do cover water damage from leaks or fire suppression.
- Additional Living Expenses Coverage (ALE). This might also be called loss of use coverage with some insurance companies. It will cover your hotel room or Airbnb costs if you can’t stay in your apartment due to a water leak or fire until you can return home.
- Personal Liability Coverage. If someone is injured in your apartment, this will cover any legal expenses you might incur. (If the injured person filed a lawsuit to recover lost wages, for example.) Your insurance company normally sets a limit to your liability protection but you can expand your liability by paying higher premiums.
- Medical Payments Coverage. This will cover medical bills in case of someone getting injured in your rented apartment. There will usually be caps for how much it will cover.
7 Best Renters Insurance Companies for NYC
New York City is one of the most expensive places in the U.S. for renters insurance (and everything else, of course!).
We compared some of the NYC renters insurance providers and listed seven of them here. This list can help you to pick the company that suits your needs and budget the best.
Here are the top 7 providers of the best renters insurance in New York City:
Allstate offers affordable renters insurance with many discounts available. You will get discounts if you have fire and security alarms on the property, have never filed a claim with any other insurance company, or if you choose to pay online automatically.
Of course, they also offer a multi-policy discount if you have both and Allstate car insurance policy and a renters insurance policy with them.
- Many discounts available
- Affordable premiums
- Very informative website with an educational blog
Lemonade offers very fast renters insurance purchasing via its app. It takes less than 10 minutes to get your policy active.
These policies are very affordable, and they also offer flexible limits. Their discount list is not impressive, but the price is so low already. It is great for basic coverage since they don’t have many add-ons and special coverages.
Lemonade is a great option if you want personal belongings and liability coverage but aren’t too worried about additional living expenses or medical payments.
- File an insurance claim on the app
- Perfect for basic coverage
- Very low premium
- Easy to use and fast mobile app
- Socially conscious company
- Read our full Lemonade Renters Insurance Review.
Liberty Mutual offers renters insurance, which is not on the cheapest side, but you could claim several discounts. Along with standard coverages you could also get add-on protections.
Add-ons include personal property replacement that pays the replacement cost and just not the cash value of your stolen or damaged item. You could also opt for blanket jewelry coverage and even extra earthquake coverage.
- More discounts than other insurance companies
- Great add-ons
- Flexible Coverage Options
- Read our full Liberty Mutual Insurance Review.
State Farm provides one of the cheapest insurance coverage options for NYC renters. State Farm is also rated one of the best insurance companies for customer satisfaction.
Along with the low premiums, you can also get extra discounts by increasing your deductible or bundling your coverage with other policies such as auto or life.
- One of the best prices in NYC
- Many discounts
- Great customer service
- Read our full State Farm Insurance Review.
Stillwater offers customizable renters insurance policies. You can buy different add-ons for your basic coverage. These can even include coverage should your pet cause an injury in your rented property as well as high-value items protection.
Stillwater premiums are the lower side, which makes it one of the cheaper options in NYC.
- Customizable policies
- Low premiums
- Great customer satisfaction
Travelers offers affordable renters insurance with great customer satisfaction ratings. Travelers policies include all the traditional coverage components with some nice extras available too.
For example, Travelers’ improvements coverage could compensate you for your own improvements to the rental property — an unusual provision for renters insurance coverage.
While the annual premium is on the lower side, they also carry a long list of discounts, including protective devices and multi-policy discounts.
- Affordable renters insurance
- Good list of discounts
- Improvements coverage and other add-ons
- Read our full Travelers Insurance Review.
Bungalow Insurance wants to change the way we buy renters insurance coverage. This company aims its business model squarely at millennials and makes getting insurance a fun experience.
Bungalow’s website is very clean and minimalistic, but it isn’t very easy to find information about what their coverage includes and what discounts the company offers.
Still, it’s highly rated coverage and tends to be affordable.
- Millennial oriented
- Fast quoting system and fast insurance purchase
Rental Insurance Premiums By Borough In NYC
Renters insurance costs more in Brooklyn and Manhattan than it costs in Queens or Staten Island. Here is a breakdown of average renters insurance costs by borough:
- Brooklyn: $190 a year on average
- The Bronx: $165 a year on average
- Manhattan: $183 a year on average
- Queens: $162 a year on average
- Staten Island: $156 a year on average
These are just averages. Coverage costs also vary by ZIP code for renters insurance, which some insurance agents call apartment insurance.
Insurers will gauge your risk of burst pipes, vandalism, a burglar strike, or property damage.
Even your building’s age can impact premiums because older buildings may be more prone to burst pipes. And, of course, your coverage levels will affect your renters insurance quotes. More coverage costs more money.
So deciding how much renters insurance to buy before you start shopping can help you compare policies.
Replacement Cost vs. Cash Value Coverage
Also, decide whether you need replacement cost coverage or actual value coverage. Replacement cost coverage increases your premiums, but it also protects your budget more aggressively.
You could get reimbursed enough money to replace your items with their new equivalents. With actual cash value coverage, your claim would pay only the value of your property.
In other words, you could replace your stolen Macbook with a new model with replacement cost coverage. Actual cost coverage would reimburse you the value of your stolen laptop which, if it’s five years old, would be lower than the cost of a new model.
Ultimately, your premiums will boil down to risk. What is your insurance company’s risk of you experiencing a covered loss? The answer will impact how much you pay in monthly premiums.
5 Most Expensive Cities For Renters Insurance In New York State
Nationwide, the average cost of renters insurance is lower than the cost for renters coverage in NYC — which won’t surprise many New Yorkers.
Policyholders across the nation spend about $12 to $15 on average. For reference here are some prices in other towns across the state.
- Newburgh, N.Y. This small city 60 miles outside New York City is the most expensive city for renters insurance in the state of NY, besides NYC. The average renter’s insurance price for a year is $196, and it can go up to over $300 depending on the company.
- White Plains, N.Y. Another city close to NYC with renters insurance clocking in at 11 percent higher than the state’s average. Residents here pay $194 on average for renters insurance a year.
- Buffalo, N.Y. The second-largest city in the state of New York. The average price of renters insurance in Buffalo is similar to White Plains, with an average annual cost of $194.
- Albany, N.Y. The capital city of the state of New York and the sixth-largest city in NY. The average annual renter’s insurance rate is similar to those of White Plains and Buffalo – $194. It is ranked as less expensive because insurance companies offer cheaper renters insurance in Albany than Buffalo or White Plains.
- Amityville, N.Y. A village on Long Island with average renters insurance 10 percent above the state’s average. Its residents pay, on average, $192 a year for renters insurance.
5 Least Expensive Cities For Renters Insurance In New York State
- Oneida, N.Y. This small city in New York has the cheapest renters insurance in the state of New York. Renters pay, on average, 10 percent less than the average in the state. On average, the annual renter’s insurance cost is $158.
- Fulton, N.Y. Slightly more expensive than Oneida, but still 9% cheaper than the average New York State cost for renters insurance. Fulton residents pay, on average, $159 for renters insurance annually.
- Auburn, N.Y. The residents of Auburn spend, on average, $160 yearly on renters insurance. This is $15 less than the average cost in the state of New York. This makes Auburn the third least expensive city for renters insurance in NY.
- Elmira, N.Y. The cost of renters insurance is very similar to Auburn, with an average annual cost reaching $160. This leaves it at 8% lower than the state’s average.
- Dunkirk, N.Y. Another city with similar rates to Elmira and Auburn. The average annual cost of renters insurance here is $160 as well.
NYC Renters Insurance FAQs
What Is The Best Renters Insurance in NYC?
So, what is the insurer I’d recommend the most? There are some great contenders – and it’s hard to single out one best company.
Choosing insurance comes down your choices and needs. Before you select an insurance company, spend some time thinking about your needs and budget.
It is worth mentioning that State Farm has the best customer service rating in New York and is ranked second by J.D. Power. State Farm’s pricing is also on the cheaper side, which makes it a great choice for renters in an expensive city like New York.
Most Affordable Renters Insurance in NYC
Lemonade is one of the cheapest options for renters insurance in NYC.
Before signing on, make sure the policy covers everything you need. This company has an A (Exceptional) rating from Demotech for Financial Stability which means the company should be in good shape to pay your claims if needed.
Lemonade makes buying insurance and filing claims super easy and fast through its mobile app, so it is a great choice for anyone who wants to save time and money.
Plus, Lemonade donates its profits to charities — and policyholders get to choose which charities.
Can a Landlord Require Renters Insurance in New York?
While renters insurance is not mandatory, some landlords can and might require it. This should be stated in your lease agreement.
Even if your landlord does not require you to purchase renters insurance, it might be a very smart move.
Your landlord’s property owners insurance will not cover your personal belongings or provide personal liability coverage for you, the tenant.
Keep in mind, too, that neither renters nor property owners coverage will protect you from flood damage. You’d need an actual flood insurance policy. However, water damage from burst pipes or an overflowing dishwasher should be covered.
Before buying a policy check all of its exclusions to be sure you understand your coverage.
Renters Insurance Is a Way To Protect Your Finances
To sum up, renters insurance is a must because a policy could protect your finances when something really unexpected (and very inconvenient) happens.
With a little monthly premium, you can be sure not to go broke if your laptop is suddenly stolen or your flat becomes freezing cold after your window was broken following a hail storm, and you have to stay in a hotel until it’s fixed. Whether you’re a professional or a college student, live with roommates or on your own – apartment insurance is a smart move.
So get renters insurance quotes online or talk to an insurance agent today to get your personal belongings protected and your liability less exposed.