Renters insurance is not expensive, overall. But moving and buying renters insurance can take a big bite out of your wallet. When you’re moving, it’s only natural to want to minimize your expenses. It often makes sense to defer some expenses for a month or two until you’re settled. Often, you’ll pay a deposit on the apartment, the gas, the water, the electric, even the cable. That all adds up. So, in the interest of keeping some of your hard-earned money in your pocket for a little longer…
Is renters insurance with no down payment possible?
We’ll quote from a Mesa, AZ Renters Insurance policy as an example. What you’re about to read is applicable in all states, however. Let’s find out if renters insurance with no down payment is possible, and why.
Renters Insurance With No Down Payment Wouldn’t Bind The Company
Renters insurance – any insurance at all, really – is at its heart nothing but a contract between you and the insurance company. You agree to pay them a premium. In return they agree to pay you for a loss as noted in the contract. The types and kinds of losses covered are spelled out in great detail in the policy document. The policy document is also the contract that creates an insurance policy.
While the terms may be new, it’s common knowledge that a contract requires an offer, acceptance, and consideration. The insurance company offers the coverage that you want. That offer includes a price, terms, and stipulations. It also includes exceptions and other terms and conditions. Those are all part of the offer the insurance company makes to you.
Once you receive that offer in the form of a quote, you have the option to accept or reject it. We still have no binding contract between you and the insurance company. You haven’t yet accepted the offer. After you review it, you can then decide whether to accept the offer. If you do, does that create a contract and bind coverage?
Absolutely not. What happens if you look at a new Tesla, and say “I’ll take it”? You have to go fill out paperwork, arrange financing, and make sure the dealer gets their money. Therein lies the key as to why renters insurance with no down payment wouldn’t bind the company.
“Consideration” is not the process of you considering the offer. In this context, it means something of value exchanged. That something is most often money. A contract such as an insurance policy requires all three parts. The company or its agent needs to make the offer. You need to accept the offer. Consideration needs to be paid. Without you paying money as consideration for the insurance, there is no binding contract. Without a contract, there is no insurance.
You can find low down payment renters insurance easily. Effective Coverage can help you to find the right policy for your needs. But you won’t find renters insurance with no down payment, because that wouldn’t be insurance. Without a down payment, there is no coverage!
Renters Insurance With No Down Payment Violates The Policy Contract
Both parties need to perform under the policy contract. In the “insuring agreement” section of a Mesa, AZ Renters Insurance. you will find the following words
We will provide the insurance described in this policy in return for the premium and compliance with all applicable provisions of this policy.
Rephrasing that sentence more sensibly, it might read, “We will not insure you if you do not pay for the policy and follow the policy terms.”
Renters insurance with no down payment wouldn’t work because again there would be no coverage. The requirement for you to pay the premium precedes the obligation of the company to insure you. No premium paid, no coverage provided. This is also the reason that policies cancel mid-term for non-payment. If the premium isn’t paid, coverage will not continue.
If you can’t get renters insurance with no down payment, can you at least save money on renters insurance? Absolutely! Effective Coverage insurance experts are available to speak with you and help you to understand your needs. Armed with that information, we can help you find an affordable policy that meets your needs and offers the coverage that you desire.
When you’re shopping for renters insurance, remember that not all companies are equal. It’s possible to buy a cheap renters insurance policy from a company that is less enthused about paying claims than they perhaps could be. That might save you a few dollars now, but could cost you tens of thousands of dollars later. You don’t want to be stuck with a claim they won’t pay or with actual cash value coverage instead of replacement cost.
The average renters insurance policy costs about fifteen dollars a month. Saving a dollar a month is not worth risking future payment of claims. Effective Coverage works with highly rated underwriters to give you affordable coverage that will be there when you need it. It’s fast and easy, as well. Just call (800)892-4308 or click to get covered - whether you need Mesa, AZ renters insurance quotes online or coverage anywhere else!
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