As a renter, you need to protect yourself and your belongings in case of an unfortunate incident, such as a fire or theft. By buying renters insurance in Montana, you gain the peace of mind that you have the coverage you require when you need it the most. To help you find the right policy, MoneyGeek ranked the top renters insurance providers in Montana based on three important factors: affordability, customer service and the company’s financial strength.
The Best and Cheapest Renters Insurance in Montana for 2021: Rankings, Reviews and Rates
Cheap Renters Insurance Companies in Montana
Affordability and value for money are the most important factors renters look for in an insurance plan. If you are looking for the most affordable renters insurance in Montana, go for Allstate. Their average annual rate is $98. USAA comes in second at $114 annually. However, USAA insurance plans are only available to former and current military members and their families.
To give you the most accurate average renters insurance rates in Montana, MoneyGeek analyzed insurance quotes from a diverse set of ZIP codes across the state for personal property coverage of $20,000, liability coverage of $100,000 and a deductible of $500.
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Best Renters Insurance Companies in Montana
While the price may be the biggest factor in choosing the best renters insurance provider in Montana, you should also consider other important areas before making a decision, including the company’s financial stability and customer support reputation.
After considering all key factors, MoneyGeek came up with a list of the top companies for renters insurance, ranking each one with scores out of 100. The top two insurance providers are Allstate, with a score of 95 and USAA, with 88.
Allstate is one of the largest U.S. insurance companies, and renters are assured of its financial stability and capacity to settle claims. Its online app helps renters evaluate the value of their belongings. You may also take photos of your items and store these safely in the cloud as proof of your possessions.
This renters insurance provider is an excellent option for military members and their families. Their rates are always competitive and their coverage plans are more comprehensive than others. In Montana, an average USAA renters insurance policy is available for $10 monthly. Their standard coverage includes moving and storage, flood, earthquake and identity theft, among others. Aside from value for money, USAA boasts high financial stability, which adds to a renter’s peace of mind and security.
State Farm received a MoneyGeek ranking of 82.2, mainly for its financial stability. It is also important to note that in 2019, it received four out of five stars from the J.D. Power study for overall customer satisfaction. Its well-rounded renters insurance coverage allows clients to customize the plan based on their specific needs. There are additional coverage options for waterbeds and earthquakes, which are not commonly available with other renters insurance in Montana.
While they may not be the most affordable renters insurance in Montana, Farmers has a strong customer service rating. On their website, Farmers provides a comprehensive list of possible unforeseen scenarios that can happen to anyone, like a fire or being sued by a neighbor, and the risk it may have on renters. It then details the type of insurance that will keep you covered.
Largest Renters Insurance Companies in Montana
One of the main factors renters look for in an insurance company is its financial stability. Renters want the peace of mind that their insurance provider will settle their claims efficiently. In Montana, State Farm is the biggest insurance provider with the highest market share, followed by Liberty Mutual, Farmers, Mountain West Farm Bureau and USAA.
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Average Cost of Renters Insurance in Montana
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The average annual renters insurance rate in the US is $159. Renters in Montana pay a much lower average price of $114 per year. There are several renters insurance providers in the state that offer various packages depending on a renter’s needs.
Before you choose your renters insurance, you should shop around and compare quotes. You can save an average of 24% by selecting coverage from Allstate (the state’s cheapest provider) instead of similar coverage from Farmers.
What Factors Impact Renters Insurance Cost in Montana
Several key factors influence your renters insurance costs in Montana. By understanding how these five elements impact your premium, you can find the right policy for your needs.
- Location: Where you live is a significant factor in renters insurance pricing. For instance, if your rental home is in an area with frequent crime, you will likely see an increase in your premium.
- Coverage Amount: If you choose to add optional coverages to your standard renters insurance plan, it logically follows that you will pay a higher premium than someone who sticks with a normal policy.
- Deductible: The deductible is the amount you need to pay to get the insurer to cover your claim. The lower the deductible, the higher your premiums.
- Actual Cash Value (ACV) vs. Replacement Cost Value (RCV): An ACV policy only pays depreciated amounts for your used goods, while an RCV plan will cover the cost of a new item of similar style and quality. As you may expect, RCV policies are more expensive because they offer higher payouts.
- Credit Score: Your credit score will also affect the amount an insurance company charges you for renters insurance. People with low credit scores typically pay higher premiums than those with strong credit, as insurers think people with bad credit are more likely to file claims.
Renters Insurance in Montana: What You Need to Know
In case of a natural disaster or a break-in, you need a reliable renters insurance policy to protect your assets.
In Montana, around 28% of residents are renters, paying an average rate of $831 per month for rent. By contrast, the average monthly cost of renters insurance in this state is just $10 per month or 1.14% of the monthly rent price.
What Renters Insurance Typically Covers in Montana
Renters insurance companies in Montana offer a wide range of insurance plans for renters depending on their needs and how much they can afford. But almost all renters insurance policies offer coverage for personal property, liability insurance, additional living expenses and medical payments.
Your personal property coverage in Montana will protect against damages caused by wildfires, tornadoes and other inclement weather threats.
What Renters Insurance Typically Does Not Cover in Montana
There are also common limitations to most renters insurance coverages. Understanding these will help set your expectations so you can better decide which is the best renters insurance for you. Make sure to read your renters insurance policy carefully because not all companies offer the same coverages.
- Structural Damage: Personal property coverage does not include damages to the structure of the house. This is the responsibility of the homeowner or landlord and not the renter.
- Flooding: Renters insurance will likely cover water damage due to a broken pipe or water main. However, flooding due to natural disasters is typically excluded. If you live in an area prone to floods, you may want to purchase flood insurance from the National Flood Insurance Program (NFIP).
- Earthquakes: Most insurers do not cover earthquake damage in standard renters insurance policies. You can add this coverage if you want to, but Montana rarely experiences earthquakes.
- Roommate’s Possessions: Your renters insurance policy only covers your property. If your roommate wants coverage, they can purchase their own policy.
- Expensive Items: If you own costly items like jewelry or electronics that exceed policy limits, you may need an additional rider.
FAQs About Renters Insurance in Montana
Expert Insight on Renters Insurance in Montana
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Renters Insurance in Montana Analysis: Methodology
MoneyGeek analyzed renters insurance premiums from four of the top insurance companies in Montana provided in partnership with Quadrant. Our analysis includes quotes from ZIP codes across Montana. 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.
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