What is Tenant Insurance?

Home insurance isn’t just for homeowners. It’s a savvy way for renters to protect their investment as well. You may have heard of tenant insurance being referred to as renter’s insurance. Keep in mind that tenant insurance and renter’s insurance are terms that are often used interchangeably but generally offer the same coverage options.

What is renter’s insurance?

Renter’s insurance is a form of coverage that provides insurance protection for tenants and their belongings. It’s similar to home insurance but because you aren’t the property owner, renter’s insurance doesn’t cover the physical building . However, it will help to cover the cost to repair or replace the contents of your home following a covered claim and provide liability protection.

More often than not the landlord’s insurance will not provide coverage for your belongings if damaged, or protect you if someone is injured in your home. Also, if you were found liable for damages to the building the landlord’s insurance company could sue you to recover the cost of repairing or rebuilding the structure. Tenant insurance can offer you financial protection in these cases and more.

What Does Tenant Insurance for Renters Cover?

Tenant insurance usually provides coverage for your belongings against common risks such as theft, fire, loss and much more. It’s a good way to protect your investment in your personal property. Coverage applies to your belongings that are both in your home and temporarily away, such as when you go on vacation. If your home becomes unlivable due to a covered loss, tenant insurance will cover any necessary and reasonable additional living expenses until you can move back in or find another place to live.

Coverage for personal liability may provide financial protection should you be sued for accidently injuring someone or damaging someone else’s property. Liability protection is often your best line of defense if you’re named in a lawsuit or considered personally responsible for unintentional bodily injury or property damage.

Do All Renters Need Tenant Insurance?

Although it’s not mandatory to have tenant insurance if you’re a renter, it could help you cover expenses that come up accidentally or unexpectedly from a covered loss. Here are some frequently used insurance terms that are also used to describe tenant insurance.

Here are some frequently used tenant insurance terms that are worth knowing:


  • All-Risk insurance covers your belongings for loss or damage caused by anything aside from explicitly mentioned exclusions in the policy.
  • Personal Liability insurance coverage protects you if someone is unintentionally injured in your home, or if you’ve damaged someone else’s property and are legally responsible to pay for the damages.
  • Replacement Cost means that in the event of a covered claim, items will be repaired to their original condition or replaced with new items of like kind and quality with no deduction for depreciation.
  • Additional Living Expenses Coverage will help you pay for additional costs that are both necessary (like hotel and food costs) and reasonable in a situation where your home is uninhabitable following a covered loss.

What Factors Affect the Cost of Tenant Insurance Rates?

Tenant insurance doesn’t come at a fixed cost for everyone. In fact, premiums will differ per renter based on multiple factors, including but not limited to:

  • Your credit score (province dependent).
  • The amount of contents coverage you require – from big-ticket items to less costly belongings, you’ll want to ensure your selected contents limit is enough to cover all your belongings.
  • The location of your home (typically determined by postal code).
  • The deductible chosen – a higher deductible usually results in lower premiums, but you’ll have to pay more out of pocket if you have a covered claim; a lower deductible usually results in a higher premium, but you’ll be paying less out of pocket. Choose your deductible based on what you can afford for unexpected repairs.
  • Whether you have some form of a home security system.
  • Your claims history – being claims-free can help benefit your premiums.

Why don’t I just go with the cheapest option?

With rent being so costly, you may be on the lookout for cheap rental insurance options to help manage your budget. But keep in mind: cheaper doesn’t necessarily mean better. Cheap renter’s insurance may cost you less at the time; however, it may not provide you with adequate coverage to replace your belongings or protect you in the event of an unexpected accident which can cost you more in the long run. Instead, look for affordable rental insurance options that balance your coverage and budget needs.

While the cost of rental insurance will vary by tenant, there are multiple ways to save on your tenant insurance policy to make it more affordable for you. Here are some ways you can save with TD Insurance:

  1. Buy online and you could save even more on tenant insurance in your first policy term.
  2. Bundle your tenant and car insurance policy together.
  3. Take advantage of alumni & professional preferred rates.
  4. Consider purchasing a home security system.

Tenant Insurance Offered by TD Insurance

We also offer different coverage options depending on your unique needs. If you’re a student you may want to get specific tenant’s insurance for students to protect your laptop, textbooks and other personal belongings.

No matter what your specific needs are, and whether you’re an existing TD Insurance customer or are just looking to get started, we can also help guide you through any questions you might have about tenant insurance. Get in touch with a TD Insurance Advisor today.

If you’re already with TD Insurance but looking to add or change your tenant insurance policy, you can review and manage your policy any time via MyInsurance or the TD Insurance app.

Or if you're looking to get started with your free tenant insurance quote, you can get a quote in just minutes.

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The content on this page is for general information purposes only and does not constitute legal advice. Coverages described herein may be subject to additional eligibility criteria, limitations and exclusions. In the event you make a claim, potential indemnification is also subject to the receivability of the claim and the type of coverage you bought.

In the case of conflict between the content on this page and your policy wordings, your policy wordings shall take precedence. Please speak to an Advisor or consult your policy wordings for further details.