In the digital age, our lives revolve around electronics, from laptops and smartphones to TVs and cameras. But what happens if these beloved gadgets get damaged or stolen? Renters insurance will typically cover your electronics.
Let’s take a look at the fine print.
TL;DR
- Renters insurance can typically cover your personal electronics, such as laptops or phones, against things like fire or theft
- Coverage might not apply if damage happens due to negligence, intentional misuse, normal wear and tear, or if the electronic is excluded from the policy
- Adding Extra Coverage to your Lemonade policy (aka scheduling your personal property) is a smart choice to make sure your high-value electronics are fully protected
When does renters insurance cover electronics?
Electronics are typically covered by renters insurance when damage or loss occurs due to a covered peril, aka “named perils”. These risks usually cover all sorts of situations, including but not limited to:
Theft
If your personal electronics are stolen from your home, vehicle, or even from your hotel room while traveling, your renters insurance can typically help reimburse you for the theft.
Vandalism
Any intentional damage others cause to your items, aka vandalism, is generally included in your coverage. This means if someone breaks into your home and damages your devices, your renters insurance will generally cover the damage to your personal electronics.
Fire
Fire damage to your electronics is a common covered loss. If a fire occurs in your home and damages your devices, your policy can generally help cover the costs of repairing or replacing them with something comparable.
Water damage
Certain types of water damage, such as burst pipes, may be covered under renters insurance. However, it’s important to note that flood damage from natural disasters requires a separate flood insurance policy, as it is not included in standard renters coverage.
Windstorms
Damage resulting from strong winds, including those from hurricanes or severe storms, is generally covered under most renters insurance policies. In order for storm damage to be covered, the storm must have created an opening in the walls or roof of your rental home, and the wind or rain that damages your electronics must enter through the opening.
Smoke damage
If a fire occurs nearby or within your home, and the smoke damages your electronics, your renters insurance can generally help cover the repair or replacement costs.
Understanding these covered risks can help you choose the right renters insurance and make sure your valuable electronics are well protected.
When would renters insurance not cover my electronics?
While renters insurance provides a broad range of coverage to protect your valuable electronics, there are certain situations where your personal electronics may not be covered. These exclusions typically include:
Accidental damage
Drops, spills, and other accidental damages are common occurrences that can happen to anyone, and it’s important to note that these types of incidents are often not included in standard insurance policies.
To boost your coverage for valuable items, like a new DSLR camera, you can opt for adding Extra Coverage at an additional cost. This option can protect your valuable belongings against accidental damage.
While these things may need appraisals or other proof of purchase-more on all that here-the process is extremely easy using the Lemonade app.
Wear and tear
Standard policies usually don’t cover normal wear and tear, which is essentially the gradual decline of items from regular use.
Intentional damage
Deliberate damage to your electronics-like impacts such as throwing your PS5 remote at your TV after losing a round of Call of Duty, or misuse like leaving your smartphone locked in a hot car on a 95 degree day-won’t be covered by a renters insurance policy. So, it’s a good idea to handle your devices with care to keep them safe.
Negligence
Leaving your electronics unattended in vulnerable situations, such as in crowded places or during travel, might mean a loss won’t be covered. It’s important to keep a close eye on your devices to make sure they remain protected.
What kinds of electronics does renters insurance cover?
Renters insurance usually covers most of your personal electronics, but it’s good to know the details of what’s included. Common electronic items generally covered by renters insurance include:
Laptops, computers, and tablets
Laptops are usually protected against various unexpected events, such as theft or damage from events like fire or water leaks from burst pipes. If your laptop, computer, or tablet is stolen or damaged due to a covered peril, your policy can help cover the costs of repair or replacement, although it’s wise to verify coverage limits for high-value items like laptops with your insurer.
Cell phones
Cell phones are also commonly covered for theft and certain types of water damage, but accidental damage, like dropping your phone, is typically not covered.
Cameras
Cameras, including DSLRs and other photography equipment, fall under personal property coverage and are generally protected against named perils such as theft and fire. For those looking for comprehensive protection against accidental damage or loss, purchasing Extra Coverage is a good way to make sure your camera equipment is fully protected.
TVs
Televisions can be covered for damage caused by events like storms or vandalism, but damage from accidental incidents or wear and tear is usually never covered by insurance. Additionally, losses caused by electronic or mechanical failure typically isn’t covered unless you have extra endorsements like Equipment Breakdown Coverage.
Gaming consoles
Whether you’re team X-Box or team PlayStation, your preferred gaming console is generally covered by renters insurance under personal property coverage.
While all of these electronics are generally covered by renters insurance, it’s important to remember that there are a bunch of different policy limits, that can vary by:
- Your state
- How the damage occurred to your electronics
- How you normally use your electronics
Remember to always check the details of your policy to confirm your policy limits for different items, and your deductible.
What does an electronics claim actually look like?
Sometimes the best way to understand how renters insurance works is to see it in action. Here are a few situations that show when coverage kicks in when you’re insured with Lemonade, and when it doesn’t.
The gaming setup theft
Situation: Sarah’s $3,000 gaming setup (PC, monitor, and peripherals) was stolen during a break-in.
Coverage decision: Covered.
Reasoning: Theft is a named peril under standard renters insurance policies. Because the items were stolen from her home, her personal property coverage applied.
Outcome: Sarah’s setup was relatively new, so depreciation was minimal. After her $250 deductible, she got $2,500 back, instead of having to replace a $3,000 setup entirely out of pocket.
| Without renters insurance | With renters insurance | |
| What Sarah pays | $3,000 (full replacement) | $250 (deductible only) |
| What Sarah gets back | $0 | ~$2,500 (after deductible) |
The laptop water damage
Situation: Mark’s apartment sprinkler system malfunctioned and soaked his Lenovo ThinkPad he uses for work, which he kept in his living room.
Coverage decision: Not covered.
Reasoning: Work equipment used for business purposes is typically excluded from personal property coverage under a standard renters insurance policy, even if the damage itself (a malfunctioning sprinkler) would otherwise be a covered peril.
Outcome: Mark had to replace the laptop out of pocket. That said, other personal belongings in the room that sustained water damage, like his couch or coffee table, could be eligible for coverage under his policy, minus his deductible.
| Without renters insurance | With renters insurance | |
| What Mark pays | $1,500 (laptop, out of pocket) | $1,500 (laptop not covered) |
| What Mark gets back | $0 | $0 (laptop) |
| Other damaged items (couch, coffee table) | Full replacement cost | Covered, minus deductible |
The TV fire
Situation: A kitchen fire spread to Emma’s living room, destroying her 55-inch Samsung smart TV.
Coverage decision: Covered.
Reasoning: Fire is one of the most commonly covered perils under renters insurance. Because the damage was caused directly by the fire, Emma’s personal property coverage applied.
Outcome: Emma’s TV was about a year old and had depreciated only slightly from its original $800 price. After her $250 deductible, she got $500 back, rather than absorbing the full cost of replacing it.
| Without renters insurance | With renters insurance | |
| What Emma pays | $800 (full replacement) | $250 (deductible only) |
| What Emma gets back | $0 | ~$500 (after deductible) |
The cracked camera lens
Situation: John dropped his Canon DSLR camera, cracking the lens.
Coverage decision: Not covered under standard renters insurance, but covered with Extra Coverage.
Reasoning: Accidental damage from drops typically falls under normal wear and tear exclusions in standard renters insurance policies. It wasn’t a named peril. However, adding Extra Coverage to a policy can protect camera equipment against accidental damage.
Outcome: John paid out of pocket for the lens repair. Had he added Extra Coverage for his camera gear beforehand, the repair would have been covered in full, with no deductible applied.
| Without renters insurance | With renters insurance | With Extra Coverage | |
| What John pays | $400 (lens repair) | $400 (not covered) | $0 |
| What John gets back | $0 | $0 | Full repair cost |
Why is it important to protect my electronics?
Think your gadgets aren’t worth much? Think again. Here’s what you’re really protecting when you cover your electronics:
| Device | Average device lifespan (years) | Lifetime cost |
| Smartphone | 2.64 | $26,187 |
| Laptop | 5.85 | $13,755 |
| Tablet | 4.72 | $10,566 |
| Smartwatch | 3 | $8,801 |
| Headphones | 2.7 | $5,668 |
| Smart TV | 6.6 | $5,899 |
| Game console | 6 | $4,507 |
| Video doorbell | 3.5 | $3,172 |
| Smart speaker | 5 | $2,504 |
Source: https://www.self.inc/info/lifetime-cost-of-tech/
Are certain electronics not covered under renters insurance?
While renters insurance generally covers most personal electronics, there are some exceptions, including:
- Drones often aren’t covered much because they come with special risks. These include possible problems with other aircrafts, privacy issues, and the chance of accidents in busy areas. At Lemonade, drones are only covered in New York, California, and Virginia, and the coverage is limited.
- Hobby aircraft like remote-controlled planes or helicopters may not be covered by renters insurance either. They’re often considered recreational vehicles, so you might need a separate policy for them.
- If your apartment came with appliances like ovens, washers, dryers, or refrigerators that are provided by the rental, renters insurance usually won’t cover them. Basically, if you don’t own the appliances in your rental home, your renters insurance won’t cover the damage to them.
Before we go…
Renters insurance can be a vital tool in protecting your electronics and other stuff against a bunch of other bad things, called named perils. While renters insurance can protect your stuff, aka personal property coverage, it can also cover some other things, including:
- Additional living expenses: Aka loss of use, can cover costs like hotel bills, food, and laundry if a covered loss causes your place to be unlivable
- Personal liability coverage: Offers protection in cases where someone is injured on your property due to an accident, covering medical bills or legal fees from potential lawsuits. Additionally, this coverage safeguards you if you accidentally damage someone else’s property
