Insurers are offering cheap coverage for people who rent out their homes.
But how can consumers be sure they’ll get the coverage they need when they buy?
Insurers say they’ll give out more information about their plans to help consumers better understand how much they’re paying and what they’ll pay out in premiums.
Insurers also are offering a new type of coverage, a cheaper version of the old one called Assurant Renters Insurance, which is similar to a home insurance policy but requires no out-of-pocket costs for the homeowner.
Insurer plans are typically cheaper than traditional homeowners insurance, but they aren’t cheap enough to cover most Americans, said John Voss, an associate professor of health care management at the University of Maryland and one of the authors of the report.
For example, most homeowners who use an Assurants policy have no deductible, so they don’t pay for it.
That means their monthly premiums will likely be less than the monthly income of their median income, according to the analysis by researchers from the National Association of Insurance Commissioners and the University, and they’ll likely be more expensive than other types of homeowners insurance.
For the most part, Assurancers offer a cheaper alternative to traditional homeowners and are more flexible than other homeowners insurance because they have no deductibles, said Voss.
Insured people can also qualify for a reduced deductible because they live in a “co-pay” or other kind of “coverage,” which means they pay a set amount per month.
These co-pay plans typically don’t include an out-filing fee, meaning they cover up to 20 percent of the premium.
If you live in an area where the deductible is more than 20 percent, you may have to pay a lot more to qualify for an insurance policy.
But even with co-payment plans, a typical Assurancy policy will cost about $1,400 to $1 and $3 per month, depending on your income and how much you pay for the policy.
This type of affordable homeowners insurance is more affordable than the cheaper plans available from other insurers because they cover the cost of the mortgage on the house rather than paying monthly for it, Voss said.
But these types of plans don’t offer the coverage needed for a more costly, full-fledged policy, Vins said.
Consumers also can’t rely on the Assurancies plans to protect them from medical emergencies.
Most Assurances have a deductible of $5,000 for a single person or $10,000 per person with two adults and children.
The more expensive plans also have a $5 monthly limit for people under 65 years old, Venn said.
“They’re going to be pretty much out of your insurance,” Voss told Shots.
He said insurers are trying to convince people that Assurations are a good option because it offers more flexibility.
“There are other insurers out there, but it’s not that expensive to get it if you don’t have to do the work,” he said.
The report also said that Assureds policies were “not typically priced at the level consumers might expect.”
Insurers can make Assurages cheaper, Vann said.
They can also offer the plans without a co-pays, which might be cheaper.
For instance, some Assurands plan is available for $25 a month for two people and $40 for three, while others offer it for $30 a month.
This means you can have one plan for $80 a month, or one plan with no co-op or co-insurance.
“These cheaper plans might be the best for people, especially for people that aren’t as financially savvy as they are,” Venn added.
Insurance companies have made strides in helping consumers make the right choice, Vart said.
For years, insurers have offered discounts and rebates for lower monthly payments for consumers who need it most, such as for a high-deductible plan.
But the Affordable Care Act changed that, he said, allowing insurers to offer discounts on individual policies for consumers with low incomes.
“We’re seeing more insurers offering discounts for low-income consumers,” Vart told Shots, saying that’s a good thing.
However, insurers also are making efforts to increase the amount people can qualify for.
For those who don’t qualify for the lowest-cost plans, the Affordable Health Care Act allowed insurers to raise the premiums for older, higher-income people.
Voss says the Affordable Housing Act also changed the way insurers price plans, so premiums will now be higher for people with lower incomes.
Venn and Voss also recommend consumers take time to understand what insurance options are available and to research the policies available.
“It’s important to understand how the coverage you get will compare to other plans available to you,” Vann told Shots after the release of the research.
“But there are also things that are available to people who