Manhattan Crane Collapse Exposes Lack of Renters Insurance

[Omaha Steve]

http://www.insurancejournal.com/news/east/2008/04/03/88813.htm

April 3, 2008

The New York Insurance Department said only two of the 32 renters it surveyed following last month's crane collapse in Manhattan had tenants insurance – a trend that underscores the lack of coverage for personal property in high-priced New York.

The department called the low number – 6.25 percent – surprising. A recent survey by the Insurance Research Council found that, nationwide, about 43 percent of renters carry the coverage. In New York City, where the cost of living is among the highest in the country, that number is thought to be lower.

The department said one of the reasons the coverage is so scarce is the mistaken belief by some renters that their personal property is covered by the insurance of a building's owners.

The state publishes a consumer's guide to the coverage here.

Source: New York Insurance Dept.

[napi21]

1. I don't know about now, but back in 1964 when I got married, We didn't

have the $$ to pay for insurance. Sure I knew it was a risk, but when you make just enough $$ to be able to survive, you don't think about insurance of any kind.

I used to ride the bus every day to work, and I bought a monthly pass at the first of each month so I was sure I'd always be able to get to & from work. Some weeks, I felt lucky to have ONE DIME in my wallet 2 days before payday.

Some of you might think tough times only apply to NOW, but you're wrong!

Rough as it was, we managed to build our own house, raise two boys, and build a 1934 Streetrod which was GREAT while the boys were growing up. We went on Rodruns almost every weekend in the spring & summer. We camped all the time so the weekend cost us less than $10 if you don't count food that we would have had to buy anyway.

We're close to retiring now. Hubby will be quiting his job in October 08 when I will be eligible for Medicare. We don't have a LOT of $$, but we own our house, and I've learned over the years how to live quite frugally and still be very happy with life.

[madaboutharry]

3. The reason you have been happy

probably has a lot to do with the fact that you don't seem to have bought into consumerism and having to keep up with the Joneses. I think a lot of the reason people are so unhappy these days is because they kept getting bombarded with the message that they "have to have" something they see others with, or see on tv or in the stores. I have come to the conclusion that "consumerism" is a big con game on the public. A pair of shoes, or a particular car, or size house or whatever isn't going to make you happy. I know this sounds funny, but my husband and I have never bought a home that cost more than a few thousand dollars over our income. We would sit and listen to bankers tell us how much of a house we could buy and we would just look at each other and say "no way." Some of how people live has too much to do with worrying about what other people think. They haven't learned yet that no one cares.

[napi21]

4. You hit the nail on the head in your analysis. Sure there are lots of

things I'd LIKE to have. But I also recognize I don't NEED them. I'd like to have a 50" plazma TV, but I also read that it costs a LOT mor in electricity to run them, so not only do I not have the $$ to buy the darn TV, but I don't have the $$ to power it either! I've always wanted a Lamborghini, but I recognize that's just a dream!

I think you're right on in saying that most people buy things to improve their image with others, and that's just dumb!

[backscatter712]

2. Even without renter's insurance, you'd think the crane owner would eat the damage costs.

Don't get me wrong - renter's insurance is a damned good thing to have, and at least in Colorado, was pretty dirt cheap for me - like $100 for a full year.

But still you'd think the crane's owner, operator, or their insurance company would have to pay for the damage to the tenants' belongings.

[elehhhhna]

5. They'll be sued for it, and pay. The renter's ins. companies would subrogate the damagesto them,

anyway, but would have paid the renters their moving & contents restoration/replacement on the spot.

Get renter's insurance. It's very, very inexpensive.

[aikoaiko]

6. the cable bill for one month in Manhatten is probably greater than average renter insurance for 1 yr

everyone gambles on something.

:shrug: