What is "renter's insurance" primarily designed to protect?

Renter's insurance is primarily designed to protect personal belongings and provide liability coverage for tenants. This type of insurance is specifically tailored for individuals who are renting a property, such as an apartment or house, and it covers losses to personal property due to events like theft, fire, or natural disasters. Additionally, it offers liability protection, which means that if a visitor is injured in the rented space or if the tenant accidentally damages someone else's property, the insurance can help cover those costs.

This comprehensive coverage is essential for renters since they do not own the building itself and therefore do not need coverage for the structure, differentiating renter's insurance from homeowner's insurance. Overall, renter's insurance helps tenants safeguard their personal items and protect themselves from financial loss associated with liability claims.