Homeowners insurance protects the structure of a home you own, but renters insurance is designed for people who rent their home or apartment.

It helps protect your personal belongings and provides liability coverage if something unexpected happens.

If a covered loss occurs—such as theft, fire, or certain types of water damage—you can file a claim with your insurance carrier.

After the claim is approved, the insurer helps pay to repair or replace your belongings, minus any applicable deductible.

Renters insurance also includes personal liability protection, which can help cover legal and medical costs if you are held responsible for injuries to others or damage to their property.

For example, if a guest trips in your apartment and gets injured, or if you accidentally damage a neighbor’s property, your policy may help cover those expenses.

You could also potentially need renters insurance to protect you from having to pay for: