Best Renters Insurance in California

Although it’s not required by law, a renters insurance policy offers significant benefits to those who lease their space — whether it’s a whole house or an apartment. Your landlord’s insurance will not cover damaged or stolen personal belongings, so you will need a renters policy for financial protection in the event of a covered loss. Many landlords even require it. Bankrate’s insurance editorial team took a close look at the market in the Golden State to help you compare renters insurance in California. Our picks for some of the best companies include American Family, Lemonade, Mercury, Nationwide and USAA.

Best renters insurance companies in California

To help you find the best renters insurance companies in California, we analyzed customer satisfaction ratings from the 2024 J.D. Power U.S. Home Insurance Study. We also rounded up each company’s financial strength rating, which indicate its history of paying claims. Lastly, we reviewed available discounts by company in hopes of helping California renters save on coverage. It is important to note, however, that discounts may change, and companies may not advertise all available offers. Talking with a licensed agent or gathering quotes is the best way to get further details and find the best affordable renters insurance for your situation.

Here are the top renters insurance companies in California based on our research:

*This is an estimate based on information available on the carrier’s website. Check with a licensed agent for exact discount availability.
**Not officially ranked by J.D. Power due to eligibility restrictions.

American Family

Best for optional coverages

American Family ranked sixth for renters insurance in the J.D. Power U.S. Home Insurance Study. Its above-average study score may indicate that it takes relationships with policyholders seriously. Besides the standard coverage types, AmFam has optional coverage for pets hurt in a covered loss, home-based businesses, travel protection and identity theft coverage. It also offers a diminishing deductible, which may drop your deductible each renewal after remaining claim-free for the previous policy period.

Pros

• Large number of potential discounts
• Valuable optional coverages

Cons

• Android app rated 3.4 on Google Play
• Only available in 19 states

Learn more: American Family insurance review

Lemonade

Best for fast claims process

Earning a high score in the J.D. Power study, Lemonade may also offer some of the best insurance for apartment or rental home dwellers. It has a separate earthquake policy for Californians and a giveback program, which donates unused premiums to a charity of your choice at the end of each year. Lemonade also features AI-supported claims, which could mean a quick payout in the event of a covered loss. 

Pros

• Tech-savvy policyholders may find digital claims process appealing
• A (Exceptional) financial stability per Demotech

Cons

• No AM Best rating
• Minimal discounts listed

Learn more: Lemonade insurance review

Mercury

Best for high-value item owners

Mercury is another option for California renters. This carrier has several discounts that could help keep renters insurance premiums low. Mercury also allows renters to customize their policy with coverage options like workers’ compensation coverage for part-time personal employees, coverage for service lines and home systems, plus cyber and identity theft protection. If you have high-value items, you can schedule them on your Mercury renters insurance policy so they are covered for what they’re worth, too.

Pros

• Large number of potential discounts
• Multiple ways to customize policy

Cons

• Not ranked by J.D. Power for renters insurance
• No online option to file claims

Learn more: Mercury insurance review

Nationwide

Best for customer satisfaction

Nationwide only lists a few discounts on its website, but it offers the option to purchase replacement cost coverage on personal property and add credit card or water backup coverage. For those who can make changes to their rental, like upgrading fixtures or making improvements, Nationwide also offers building additions and alterations coverage.

Pros

• Several discounts on offer
• Long list of optional coverage types

Cons

• Below-average customer satisfaction per J.D. Power
• Cannot file claims online

Learn more: Nationwide insurance review

USAA

Best for military-focused coverage

USAA has a reputation for offering affordable insurance for active-duty military, veterans and qualifying relatives. You may be eligible for several renters insurance discounts to lower your premiums even more. One major benefit is that policyholders get flood and earthquake coverage included, whereas most insurance providers only offer these separate for an additional fee. And if you move abroad or get deployed, overseas renters insurance is available, as well.

Pros

• Includes flood and earthquake coverage
• Exceptional J.D. Power score

Cons

• Limited availability
• Pet damage coverage not available

Learn more: USAA insurance review

Average renters insurance cost in California

The average California renters insurance policy costs $177 per year, according to Triple-I. The average nationwide is $170. Your premium is determined by several factors, including your deductible and coverage limits. Your credit-based insurance score, however, is not a rating factor in California. 

Renters in California pay about the same for renters insurance compared to the surrounding states:

Source: (Triple-I)

Renters insurance coverage options in California

Renters insurance policies typically provide a few basic coverage types, including:

• Personal liability: This type of insurance protects you from the financial implications of lawsuits if someone is injured while on your property and you are found to be negligent. Liability may also pay for medical costs incurred after an accident in your living space. Many insurers offer liability coverage starting at $100,000.
• Personal property: This coverage is central to your policy. It protects your personal belongings from damage or destruction following a covered disaster. Common causes of damage that are included are fire, windstorm, theft, vandalism and the weight of ice, snow or sleet. If you have expensive personal items, such as electronics, artwork or jewelry, you may need an optional rider called a scheduled personal property endorsement to be adequately covered.
• Additional living expenses: If you are unable to live in your home because it has been damaged or destroyed in a covered disaster, this portion of your policy will help pay for your living expenses up to certain limits. This may include hotel costs, meals, pet boarding or moving costs.
• Guest medical expenses: This type of coverage can provide financial assistance if someone else gets injured in your rental property, regardless of who is at fault. This could apply if a friend slips and falls in your bathroom, cuts their hand in your kitchen, etc. The claim would be paid out to the guest, preventing you from having to cover the cost. Limits for this coverage tend to be lower than liability limits, sometimes as low as $1,000.

Before purchasing a policy, you may want to understand what is covered by renters insurance. For example, luxury or high-value items like fine jewelry, art and expensive electronics may have predetermined limits. Unless you add coverage, you could be underinsured for those items.

Also, keep in mind that most renters insurance policies do not cover your belongings if they get damaged in an earthquake or flood. For example, if a bookshelf falls on your laptop during an earthquake, you would likely be responsible for paying to repair or replace the laptop. To avoid that, California residents may be able to purchase separate earthquake insurance.

Frequently asked questions

• Is renters insurance required in California?
  

  Renters insurance is not required in California, but your landlord may require you to carry coverage as part of the lease agreement. The liability coverage associated with this type of insurance may be appealing to your landlord, along with coverage for theft. Since you cannot purchase liability coverage separately, you would likely need to buy a renters insurance policy to satisfy your landlord’s requirements. Even if it’s not required, this type of insurance is typically very affordable and can spare you from major expenses down the line.

• Are natural disasters covered by renters insurance?
  

  Many natural disasters are covered by standard policies — including damage from wind, storms, ice and fire. You’re also covered for other named perils, such as vandalism and theft. There are a couple of exclusions that California residents may want to be aware of, however, most notably earthquakes and floods. Neither is part of standard rental policies, so you will need to purchase an endorsement, or possibly a second policy, to be covered. California currently has a 99 percent chance of one or more major earthquakes in the next 30 years, so coverage for earthquake damage may be a good idea no matter where in the state you live. Flooding may be a side effect of earthquakes, or could happen from something as minor as an overflowing sewer drain, so it may also be worth considering.

• What is the cheapest renters insurance in California?
  

  Like the cheapest home insurance, the cheapest renters insurance in California will depend on several factors, including your coverage needs, the company you choose for insurance and any past property claims history. Getting quotes to compare coverage and pricing from several carriers can help you determine which companies offer the cheapest rates for renters insurance in your area. Many companies offer discounts, including for loyalty or bundling your policy with car insurance. You may also be able to get cheaper renters insurance if you live in a gated building or have fire and security alarms in your apartment or rental house.

• How do I get renters insurance in California?
  

  You can get renters insurance in California from many insurance companies online, over the phone or in person. You will need to provide your name, date of birth and address, and discuss what coverage and limits you want. Every company is different, but getting a renters insurance quote is typically an easy and fast process. An independent agent can get you quotes from several companies to compare, which may make the process faster. Companies offering the top renters insurance in California may also offer discounts, such as bundles with car insurance.

• How can I save money on my renters insurance?
  

  Although renters insurance is generally cheaper than homeowners insurance, there are still ways you can save money on your policy. Similar to home insurance, one key factor that plays a role in determining your rate is location. So you are likely to pay more for renters insurance in San Diego, for example, than in a smaller town away from the coast. Even in California’s large cities, though, you may be able to save money by bundling your renters insurance with another type of coverage, such as car or life insurance. If you can afford to raise your deductible, you are also likely to see a lower premium. Many insurance experts recommend doing an annual review of your policy to see if there are any new discounts or savings options available that you weren’t able to access the previous year.