As the experts on New Orleans, LA renters insurance, we appreciate you taking a few minutes to review our guide to Louisiana Renters Insurance. Only forty-four percent of Americans have coverage, and the percentage is even lower for New Orleans, LA renters insurance. Effective Coverage operates under a set of core values that ensure you and your policy are treated with integrity and respect, and that you get the coverage you need at a fair price.
Because we’re deeply concerned about how few people have renters insurance in New Orleans and nationwide, we’re working to improve that number, starting with a goal of forty percent of renters nationally, in our 2017 Renters Insurance Challenge. We welcome all insurance professionals to join in the fight to protect America’s most vulnerable residents.
The average renters insurance policy in New Orleans is just $238 for year, and often Effective Coverage is able to offer coverage for even less. That removes one of the major objections tenants have, which is cost – at less than twenty dollars a month, nearly anyone can budget renters insurance and everyone should.
Renters insurance in New Orleans doesn’t have to be complicated, either. While we’ve addressed many common questions in specific posts, we’d like to delve into a few parts of a Louisiana policy to help you understand some of the things that are written in complicated language, but really are quite straightforward concepts.
If you still have questions, turn to the experts at Effective Coverage!
New Orleans, LA Renters Insurance
What Is Medical Payments To Others Coverage On New Orleans Renters Insurance?
Would you like the long answer as written in the HO-4 policy document, or the short, simple answer? Chances are you want the short, simple answer, so here it is:
This coverage pays for minor medical expenses incurred by guests in your home.
Well, that was easy! Medical payments to others is actually a fairly short section of the policy, and offers broad coverage. Generally the limits are between $1,000 and $5,000 so it’s designed for minor incidents where liability isn’t a factor. Liability doesn’t have to be a factor because medical payments to others coverage on New Orleans, LA renters insurance is a no fault coverage. It doesn’t matter if you caused or allowed the injury to happen. All that matters is that it was on your premises.
From the policy itself, “We will pay the necessary medical expenses that are incurred… within three years from the date of an accident causing bodily injury… This coverage does not apply to you or regular residents of your household except residence employees…” The policy further details that the coverage is only for guests on the insured premises with permission of the insured, or off the insured location if the insured caused the injury or it arose from the insured location.
Even in the parlance of insurance, it’s a straightforward coverage that’s easy to understand. If a guest is hurt in your home, the policy pays for it, subject to policy limits.
Is Flood Covered On New Orleans Renters Insurance?
No. Flood is never covered under a homeowners or renters insurance policy anywhere in the United States. Flood insurance is an entirely separate product, partially underwritten with the assistance of the government. Why? Because the exposure from a flood is simply too large for any insurance company to bear. There is one point five trillion dollars of exposure in the Atlantic and Gulf coastal regions alone. The premiums that would have to be charged to accept that exposure are not an amount the market will bear, so the government offers a backstop through the National Flood Insurance Program.
If you’re curious as to how the exclusion is carried out, “We do not insure for loss covered directly or indirectly by any of the following. Such loss is excluded regardless of any other cause or event contributing concurrently or in any sequence to the loss… 3(a) Flood, surface water, waves, tidal water, overflow of a body of water, or spray from any of these, whether or not driven by wind.”
In other words, while water damage can be covered, flood damage can not be. However, if the flood causes fire, explosion, or theft, those losses can be covered. If your property is stolen from a home you evacuated due to flood risk, the theft could be a covered loss.
Who Can Be Covered Under A New Orleans Renters Insurance Policy?
To start with, the named insured, resident spouse, resident relatives, and minors resident and in the care of the insured are all considered to be insured under the definition of “named insured” on most policies. Renters insurance in New Orleans presupposes that the insured will not want to list their spouse, their five children, and their minor sibling who lives with them. Those people are presumed to be included in the definition of insured, and that’s written into the policy document.
Renters insurance also requires, just like any other policy, that you have an “insurable interest” in the property in question. When the gas station down the road got robbed, you didn’t file a claim on your New Orleans renters insurance, did you? Of course not – you have no insurable interest because you don’t own or have a lien on anything that was stolen from that gas station. In no event will a policy pay to any insured more than the percentage of the loss equal to the insured’s interest in the property. If you and your girlfriend buy a new flat screen TV together, and you both paid half, a policy naming only one of you would pay for only half the loss – that’s why it’s so important to list unmarried partners on renters insurance!
What Is The “Expected Or Intended” Clause On Renters Insurance In New Orleans?
Great question! New Orleans renters insurance is designed to protect you against things that “just happen” or are due to your negligence. It’s not designed to protect you against intentional acts in situations where you actually knew better than to engage in the act. The standard for negligence is knew or should have known, but the standard for intentional acts which are excluded is as follows:
“Coverage E – Personal Liability and Coverage F – Medical Payments to Others do not apply to bodily injury or property damage which is expected or intended by the insured…”
So if you accidentally bump into someone on the street with a cup of coffee that was not covered and they suffer burns as a result, you knew or should have known that it was possible to burn someone by walking around with hot coffee not properly secured. However, you did not expect or intend for that to be the result. You expected and intended to carry the coffee back to your office and go about the rest of your day. Even though you knew or should have known better, that’s what New Orleans renters insurance is for – negligence, not intentional acts.
Still Confused? Have More Questions About New Orleans, LA Renters Insurance?
That’s perfectly OK! A Louisiana Renters Insurance policy is about fifty pages in length, and very self-referential, not to mention the additional endorsements that can entirely change the meaning of part of a policy. Effective Coverage, the New Orleans renters insurance experts, can walk you through the coverage and help you understand what you’re buying, why it’s important, and how it protects you in just a few minutes.
Renting In New Orleans, LA
As the largest metropolitan area in Louisiana, New Orleans boasts a population of about 370,000 and is the 46th largest city in the country. The average home price is just over $222,000 and the average rent is over $1,200 a month. It’s an expensive place to live, but residents of New Orleans would argue that it’s worth every penny.
One of the most crucial ports in the United States, the region surrounding New Orleans accounts for much of the oil refining and petrochemical industry in the country. Much of the crude that comes into America comes in via New Orleans, and is processed and sold both domestically and internationally from that point. Most of the oil coming in from South America transits through New Orleans at some point in its life cycle between the well and the pump.
Much of the architecture of New Orleans is heavily influenced by the French, of course. The city was named after the Duke of Orleans, who ruled New Orleans on behalf of Louis XV of France, once it was established as a French colony. French culture can be seen throughout the city, and contributes to the upscale, yet incredibly casual feel of the birthplace of jazz.
Tourism is another important industry to New Orleans, and one that’s recovered nicely since the big storm took a large chunk of those dollars away. That recovery is important to the economy as a whole, because over 85,000 people are employed in the hospitality industry.
While we encourage you to enjoy the amazing food and nightlife of Louisiana, you’re not going to want to allow yourself to forget that catastrophe could occur at any time. Just call Effective Coverage, and we will make sure to give you the best price and the best coverage so you can go about enjoying life in one of America’s greatest cities.