Getting around to buying renters insurance is a challenge for many people, but here is some information that might make it a little easier. Your roommate can be covered on your policy.

Now, your roommate is not automatically included on your insurance plan if they are not a family member, but you can add them to your policy in most states with most insurance plans. Since all insurance companies and state regulations are different here are some general guidelines:

  1. There is a maximum amount of roommates that can be added to the policy, but this number varies from company to company.
  2. Your premium will usually not change as a result of adding your roommate; however, you might want to get more coverage which will increase the price.
  3. Since both of you are on the policy, a check will be written to both of you in the event you make a claim. This means your roommate will need to co-sign the check, even if only your possessions are damaged.

Roommates can find benefits by splitting the renters insurance plan, but it also has its downsides. Increasing the number of items on the policy can increase the premium and the necessary coverage amount. The policy will usually still be cheaper since the premium is split, but it could cause issues if the value of one roommate’s possessions is significantly higher than the other’s. This can create issues of how the bill is split or if something happens how the money is divided if the company doesn’t cover full replacement value for all goods.