• FreeAdvice has a new Terms of Service and Privacy Policy, effective May 25, 2018.
    By continuing to use this site, you are consenting to our Terms of Service and use of cookies.

Can I keep the deposit that my renters insurance paid in the beginning of my rental?

Accident - Bankruptcy - Criminal Law / DUI - Business - Consumer - Employment - Family - Immigration - Real Estate - Tax - Traffic - Wills   Please click a topic or scroll down for more.

ylinwood

Junior Member
What is the name of your state (only U.S. law)? Florida

Hello everyone!

I just have a quick question about my renters policy. I just recently moved to Florida from Indiana and the apartment that I signed up at required me to use ePremium renter's policy where it helps reduce the security deposit of $400 becoming $100. Initially I was concern about taking up the policy because I already have my own renters policy with State Farm. However, at the time it made sense to just go ahead and use ePremium, because I would be paying about $278 out of pocket ($100 deposit, 178 annual premium) instead of the 400 security deposit while keeping the State Farm renters insurance going as well.

I don't like the idea of a security deposit, because an apartment management would always try to prove that all the security deposit goes down the drain as they spend it all on repair when checking out of the apartment. Hence, why I went ahead and just use the ePremium insurance. I currently have both renter's policy active for the same unit, but now I am thinking to cancel one of them since I found out that it's illegal to be double-dipping when filing a claim anyway. I don't need double renter's insurance.

I would prefer to cancel the ePremium one instead of the State Farm insurance because my Auto insurance is also with State Farm. However, now I am concern that if I cancel the ePremium renter's insurance, they would come back and say that I have to pay the $400 security deposit to my Landlord. The title I provided above is probably quite misleading, since I'm not exactly sure how to word my situation properly as a 'title'. Anyway, thanks for your help!

Please advise.
 


LdiJ

Senior Member
What is the name of your state (only U.S. law)? Florida

Hello everyone!

I just have a quick question about my renters policy. I just recently moved to Florida from Indiana and the apartment that I signed up at required me to use ePremium renter's policy where it helps reduce the security deposit of $400 becoming $100. Initially I was concern about taking up the policy because I already have my own renters policy with State Farm. However, at the time it made sense to just go ahead and use ePremium, because I would be paying about $278 out of pocket ($100 deposit, 178 annual premium) instead of the 400 security deposit while keeping the State Farm renters insurance going as well.

I don't like the idea of a security deposit, because an apartment management would always try to prove that all the security deposit goes down the drain as they spend it all on repair when checking out of the apartment. Hence, why I went ahead and just use the ePremium insurance. I currently have both renter's policy active for the same unit, but now I am thinking to cancel one of them since I found out that it's illegal to be double-dipping when filing a claim anyway. I don't need double renter's insurance.

I would prefer to cancel the ePremium one instead of the State Farm insurance because my Auto insurance is also with State Farm. However, now I am concern that if I cancel the ePremium renter's insurance, they would come back and say that I have to pay the $400 security deposit to my Landlord. The title I provided above is probably quite misleading, since I'm not exactly sure how to word my situation properly as a 'title'. Anyway, thanks for your help!

Please advise.
You need to be absolutely certain what the ePremium covers. I suspect that it is not normal renter's insurance because normal renter's insurance would not cover the landlord if you left the unit dirty or damaged, therefore they would have no incentive to give you a reduced security deposit just for having normal renter's insurance. Therefore I suspect that the ePremium insurance covers the same sort of thing that a security deposit covers.
 

Zigner

Senior Member, Non-Attorney
You need to be absolutely certain what the ePremium covers. I suspect that it is not normal renter's insurance because normal renter's insurance would not cover the landlord if you left the unit dirty or damaged, therefore they would have no incentive to give you a reduced security deposit just for having normal renter's insurance. Therefore I suspect that the ePremium insurance covers the same sort of thing that a security deposit covers.
You're right. Epremium is deposit insurance, not renter's insurance. From Epremium's web site:

ePremium Security Deposit Insurance
ePremium’s RentersPLUS package includes security deposit insurance that provides you with an additional asset at move in. The one-time, non-refundable insurance premium is considerably less than the money required for a traditional security deposit. This allows you to have access to more cash during your move-in.

Security deposit insurance will cover you up to your traditional security deposit amount and it can be transferred to a different unit within the community if you decide to move.
 

Find the Right Lawyer for Your Legal Issue!

Fast, Free, and Confidential
data-ad-format="auto">
Top