What does renters insurance actually cover and cost?

Renters insurance typically covers three main things: your personal belongings (furniture, electronics, clothing) if they're stolen or damaged by fire, smoke, water from burst pipes, or other covered perils; liability protection if someone is injured in your apartment and sues you; and additional living expenses if your unit becomes uninhabitable and you need to stay elsewhere temporarily. It does not cover floods or earthquakes unless you add separate policies. Cost is generally very affordable, averaging $15 to $30 per month for most renters, though it varies based on your location, coverage amount, and deductible. A typical policy might offer $30,000 in personal property coverage and $100,000 in liability for around $180 to $300 annually. Bundling with auto insurance often gets you a discount.