N.Y. Crane Collapse Shows Few Renters Have Coverage

Only two of 32 renters interviewed by the New York State Insurance Department following last month’s crane collapse on New York City’s East Side were protected by tenants insurance. That low number is hardly surprising. Nationally, a 2006 survey by the Insurance Research Council found that only 43 percent of all renters were insured. In New York City, that percentage is believed to be significantly lower because of the high cost of living. “Renters insurance is typically inexpensive and provides valuable protection when the contents of a renter’s apartment are damaged or stolen. This type of insurance may even protect a renter from liability when another person is injured while in the renter’s home,” said Insurance Superintendent Eric Dinallo. Tenants insurance protects against losses caused by such events as fires, lightning strikes, windstorms or incidents of vandalism or theft. Even water damage from a building’s plumbing is usually covered. In some cases, the insurance will reimburse an insured individual for some of the added expenses incurred when a person is forced out of a rental property damaged by an event such as a fire.