A renters policy insures your belongings for specific losses (fire, windstorm, theft, and more) as well as personal liability, medical payments, and additional living expense if a covered loss forces you to relocate.

Create a personal property inventory to help you choose a contents coverage limit. List your belongings room-by-room. Include brand names, model information, serial numbers, and receipts whenever possible. Photographs, videos, and value appraisals are also useful. Store this document off-site, in a safe deposit box. Review, update, and add to the inventory each year.

Match the liability limit to your financial assets. Liability insurance protects when you, your family, or even your pets are responsible for injury to others or damage to their property. It also pays for a lawyer to defend you if you need one. Medical payments coverage pays medical expenses when someone is accidentally injured on your property or injured by you, a member of your family, or your pets. It does not cover your injuries or those of family members living with you.

Contact local property insurance agents to explore renters insurance options. Compare coverages, caps on certain losses, restrictions, and claim settlement provisions. Ask about policy add-ons for expensive jewelry, artwork, computer equipment, etc. Consider adding contents replacement cost to remove depreciation from a claim settlement. Confirm the insurer's financial rating, complaint record, and licensing status. Insurers not licensed in Illinois are not subject to state rules and regulations.