How Much Renters Insurance Do I Need? (2026 Coverage Guide)

Published: June 2026 | 8-min read

1. Personal Property Coverage

This should cover the total replacement cost of everything you own. To calculate:

1. Go room by room and list every item.
2. Write down the replacement cost (what it would cost to buy new today).
3. Add everything up.

Average renter's personal property value: $20,000–$40,000.

2. Liability Coverage

This protects you if someone is injured in your rental and sues you. Recommended amounts:

• Minimum: $100,000 (bare minimum, not recommended).
• Recommended: $300,000–$500,000.
• If you have significant assets: $1,000,000+ (or add an umbrella policy).

3. Additional Living Expenses (ALE)

This covers temporary housing if your rental becomes uninhabitable. Typical amount:

• Minimum: 20% of personal property coverage.
• Recommended: 30–40% of personal property coverage.
• If you live in a disaster-prone area: 50% of personal property coverage.

4. High-Value Items

Standard policies have sub-limits for certain items:

• Jewelry: $1,500 limit
• Firearms: $2,500 limit
• Cash: $500 limit
• Electronics: Usually no sub-limit, but check your policy

If you have items that exceed these limits, add a scheduled personal property rider.