The majority of young adult renters (56 percent) do not have renters insurance

A recent study by Nationwide Insurance found that while millennials are renting houses and apartments in record numbers, the majority of them, roughly 56%, do not have renters insurance.

Young renters across the country, from Atlanta, Georgia to Los Angeles, California are not carrying renters coverage and many of them are completely unaware of the benefits it provides.

A recent study by Nationwide Insurance found that while millennials are renting houses and apartments in record numbers, the majority of them, roughly 56 percent, do not have renters insurance. This leaves their homes and belongings open to risk of theft or destruction by fire, flood and other disasters. The study also found that 75 percent of uncovered renters are not aware that coverage is available for roughly $20.00 a month.

Matt Jauchius, Nationwide’s chief marketing officer said in a press release,

“It’s clear that there’s a misconception among millennials about the importance of renters insurance and how much it really costs. For the $20 renters spend on items such as coffee and streaming video, they can get excellent coverage to help protect their belongings. Considering renters share many of the same risks as homeowners, it’s not only important; it’s a no-brainer.”

The survey was conducted by Harris Interactive on behalf of Nationwide and was done between February and March of this year. More than 1,000 young renters (between the ages of 25-35) were polled. Incredibly, more than 40 percent of the respondents who currently did not have renters insurance felt that there was no need to carry this coverage. Despite the fact they did not feel it was necessary to protect their belongings, over 68 percent of them reported that it would cost more than $5,000 to replace all of their belonging if they suffered a catastrophic disaster at their home.

When it came to renters who were already carrying renters insurance, 58 percent said they had purchased the coverage in order to feel protected.

The survey also uncovered a number of other interesting facts about perceptions regarding renters insurance.

• Fears that are common among renters are fire (41percent) and theft (31 percent). Surprisingly, three percent feared a zombie apocalypse might end up being responsible for the destruction of their property.
• When it came to what would be saved in the event of a disaster, almost 25 percent of renters would grab their laptop before hidden cash, mobile phones or family heirlooms.
• A full forty percent of renters did not realize that renters coverage provides protection against theft of their property.
• Roughly 30 percent of renters did not believe that party mishaps would be covered by renters insurance. It would actually cover claims due to accidents such as a party guest who ends up injured, a damaged or destroyed TV or stereo and even a broken door.
•  A full seventy percent of renters have rented for three or more years and almost half (46 percent) have been renting for at least five years. Despite being long-term renters, only 56 percent had renters insurance.

Nationwide has paid out more than $184 million in renters claims since 2008. The average was roughly $4,000 per claim.

Nationwide recently rolled out a new advertising campaign called “Reveal” to raise awareness of the benefits that renters insurance can provide. The campaign is targeted at the millennial age group which numbers over 86 million at this point. Country music star Jana Kramer is featured in the ads.