The Best and Cheapest Renters Insurance in Maryland for 2021: Rankings, Reviews and Rates
Getting renters insurance helps protect your property from damage. According to MoneyGeek, the cheapest renters insurance in Maryland costs about $6 per month and the most expensive costs $15 monthly. As a renter, you can save almost $10 each month by comparing quotes from different providers. The average cost of renters insurance in Maryland is $11 per month.
MoneyGeek’s renters insurance data provides you with a list of the best options in Maryland based on various factors. These include customer service, financial strength and affordability. Using this data can help you find the most affordable insurance in the state to fit your needs.
When shopping for the best renters insurance in Maryland, many people think policy cost is the most important factor. If price is your primary concern, Lemonade and Metlife offer the cheapest insurance in Maryland.
An average renter with a Lemonade policy pays an average of $73 per year or $6 per month. Customers with a Metlife policy pay an average of $93 per year or $8 per month.
The average monthly premium for each renters insurance company represents the average quotes from different ZIP codes within the state. The premiums represent a policy with an average of $20,000 as personal property coverage, $100,000 as liability coverage and a deductible of $500.
Personal Property Coverage:
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Best Renters Insurance Companies in Maryland
Aside from price, other factors that come into play when choosing the best renters insurance in Maryland include customer support and the company's financial strength. MoneyGeek evaluated affordability, customer service ratings from J.D Power and Associates and financial stability scores from AM Best to score renter insurance providers within the state.
Based on MoneyGeek’s scores, USAA has a score of 94 out of 100. However, USAA is only available to military members, veterans and their family members.
Metlife leads the rankings for the best renters insurance companies in Maryland that are available to any customer. They scored 89 points. Lemonade follows closely with a score of 88.
More About USAA
USAA ranks the highest in MoneyGeek’s analysis of the best renters insurance in Maryland. It is only available to current military members, veterans and their eligible family members.
USAA includes earthquake and flood coverage as part of their renters insurance policy, something other policies generally don’t include.
Policyholders can save money on their premium by having a security system, bundling their policy with an additional policy and being claims-free.
More About MetLife
Metlife insurance offers specialty packages for musical instruments, electronics, sports equipment and other luxury items. This includes bonus coverage in case you break or lose these items.
In addition to paying the cost of repair or replacement of your property, the package also includes identity protection services.
Renters receive flexible payment and claim submission plans. Customer service is available 24/7.
More About Lemonade
With Lemonade, you can add extra coverage for valuables like jewelry, watches, artwork and more. You can also update your coverage whenever you want using the app.
Lemonade’s highly automated claims system and mobile app allow consumers to receive instant quotes and faster payouts.
More About State Farm
Besides standard renters insurance options, State Farm offers coverage that protects customers during specific events. For instance, you can add earthquake, identity restoration protection and more.
Customers can increase coverage for highly-priced items such as firearms, tapestries and jewelry.
Getting a quote is easy with State Farm. They also provide helpful resources on renters insurance if you want to learn more about coverage, maintaining a safe home and more.
More About Farmers
Farmers offers coverage for policyholders who need extra protection in Maryland. Additional coverage includes identity theft protection and replacement cost coverage.
Customers can get a quote online or by contacting an agent.
It’s possible to get discounts if your home has been smoke-free for a minimum of two years or if you have smoke or fire alarms.
Largest Renters Insurance Companies in Maryland
In Maryland, the best renters insurance companies based on market share include State Farm (17.59%), USAA (12.24%), Allstate (11.44%), Erie (10.84%) and Travelers (10.19%). These companies account for over 62% of renters insurance policies in Maryland.
Large insurers typically have more financial stability. Purchasing your renters insurance from a bigger company increases the possibility that your claims will be paid out.
Average Cost of Renters Insurance in Maryland
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On average, consumers pay $130 per year for renters insurance in Maryland. This is $30 less than the national average. A typical renter pays about $11 every month, which is roughly $2 less than the national monthly average. These average premiums apply to a policy with $20,000 of personal property coverage, $100,000 of liability coverage and a deductible of $500.
By comparing renters insurance quotes from different providers, consumers in Maryland can save a significant amount of money. For instance, MoneyGeek’s sample renter saves $110 if they choose the cheapest renters insurance in Maryland, Lemonade, instead of the most expensive option, Nationwide. That translates to a savings of around $9 each month.
What Factors Impact Renters Insurance Cost in Maryland
Several factors contribute to the amount you pay each month for renters insurance. These can include your location, credit score and coverage level. Having these factors in mind as you shop around ensures that you will get the best premiums in Maryland.
Location: Where you live in Maryland can impact your insurance rate. Apartments that are located in places where theft or severe weather conditions are common may have higher insurance prices.
Coverage Amount: The more items you add to your policy, the more you will pay for renters insurance. Before selecting a particular insurance company, find out how much you’ll pay to get your property replaced if you need to file a claim.
Deductible: This is the amount you pay the insurance company once it approves a claim to replace your covered items. Policies that offer higher deductibles often charge a smaller monthly premium since you will pay more in the event of damage. Plans that feature lower deductibles are more costly because the insurance company pays more when replacing your items.
Actual Cash Value (ACV) vs. Replacement Cost Value (RCV): Once damage or loss occurs, renters insurance providers reimburse you using actual cash value (ACV) or replacement cost value (RCV) calculations. ACV policies consider the fact that your property’s value has depreciated over time and pay less for the valuables included in the policy. RCV policies pay for the cost of a new item. ACV policies are cheaper but pay less if you make a claim. RCV policies have more expensive premiums but pay out more.
Credit Score: Renters insurance companies in Maryland use your credit score to calculate your probability of making a claim. Individuals with bad credit scores are more likely to file a claim than those with good scores. A good credit score also increases your chance of getting a discount.
Renters Insurance in Maryland: What You Need to Know
Renters insurance is one of the most affordable ways to protect your property from unexpected damage caused by fires, burglaries and harsh weather conditions. Roughly 30.8% of the population in Maryland are renters. The average cost of rent is $1,401 per month.
The average monthly renters insurance premium within the state for 20,000 personal property coverage, $100,000 for liability coverage and a deductible of $500 is $11. This is only 0.77% of the average monthly rent price.
What Renters Insurance Typically Covers in Maryland
Renters should take the time to understand what is covered in their policy. Although some insurers include additional coverage benefits such as identity theft insurance, most plans only cover personal property, liability insurance, medical payments and extra living expenses.
Renters insurance companies in Maryland offer coverage for most weather situations like hail, windstorms and lightning.
What Renters Insurance Typically Does Not Cover in Maryland
While renters insurance companies in Maryland will cover some emergencies, they won’t cover all situations. Here are events that will likely not be covered by your rental insurance policy:
Structural Damage: Your policy will cover your damaged personal property but not the structure of your home. The property owner is responsible for protecting and replacing its structure.
Damage Due to Floods: Flooding resulting from natural disasters such as hurricanes and rainstorms is not part of standard renters insurance policies in Maryland. Consumers who are concerned about floods in Maryland may want to consider purchasing additional insurance through the National Flood Insurance Program (NFIP).
Roommate Property: Unless your roommate is included in your policy, your renters insurance only covers your property. Your roommate should consider getting coverage to protect their belongings.
Earthquake Damage: Even though earthquakes are rare in Maryland, it’s important to remember that they are not covered by renters insurance.
Expensive Items: Items that cost a lot of money, such as special computers or pricey jewelry, are typically not included in a standard renters insurance policy. You may want to consider purchasing extra coverage for these items.
Like any other insurance policy, be sure to thoroughly read your renters insurance policy to understand what it includes. Talk to your agent if you have any questions or concerns.
FAQs About Renters Insurance in Maryland
Renters insurance is not mandatory when renting a home in Maryland. However, your landlord may include it as a requirement in your lease.
Even though renters insurance is not legally required in Maryland, having it can help protect your property from damage.
Yes, your landlord may include renters insurance as a requirement of leasing their property.
Based on MoneyGeek’s data, the average cost of renters insurance in Maryland is $11 per month for $20,000 in personal property coverage and $100,000 in liability coverage.
According to MoneyGeek’s data, Lemonade offers the cheapest renters insurance in Maryland with an average annual premium of $73 or $6 per month.
Renters Insurance in Maryland Analysis: Methodology
MoneyGeek analyzed renters insurance premiums from seven of the top insurance companies in Maryland that were provided in partnership with Quadrant. Our analysis includes quotes from ZIP codes across Maryland. Quotes were gathered for policies with personal property coverage of $20,000, $50,000 and $100,000; liability coverage of $100,000 and a deductible of $500.
About the Author
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