ResidentShield is a no-frills renters insurance company with very high prices for limited coverage. Even if your landlord suggests ResidentShield, consider buying coverage elsewhere—you're never obligated to buy a policy from a specific company, even if you must buy renters insurance.
ResidentShield Renters Insurance: Our Thoughts
Overall, we were very disappointed with ResidentShield's renters insurance offerings. The company charges extremely high premiums for its coverage, with little to no benefit to customers.
The average rate we found for ResidentShield was more than double the average among other renters insurance companies sampled. Furthermore, coverage options from ResidentShield are extremely limited—the company offers only a few ways to supplement your policy beyond basic coverages.
ResidentShield's parent company is a property management software developer named Yardi Systems Inc. As a result, a property manager may recommend it because ResidentShield's coverage integrates closely with the Yardi software platform, making it easy for landlords to verify that you have coverage.
As a renter, one of the only benefits of ResidentShield over another provider are that your landlord will automatically be named as an interested party on your policy, certifying to them that you have purchased renters insurance. However, signing up your landlord or management company as an interested party is an option most renters insurance companies provide, and the process only takes a minute or two. The much higher costs substantially outweigh the minimal convenience this provides.
It's also difficult to cancel renters insurance from ResidentShield. Most renters insurance companies allow you to cancel your policy online, but you must contact ResidentShield directly to cancel a policy from them. Moreover, the company’s website states that you (as a renter) "cannot cancel your policy, per the terms of [your] lease agreement." This is not true, as renters can always legally change renters insurance providers if they wish to do so.
Landlords are legally allowed to require that you buy renters insurance. However, they may not force you to use a specific company. We highly recommend that renters check with multiple insurance companies to find the cheapest price—especially when you stand to save hundreds of dollars per year.
Bottom line: ResidentShield's renters insurance coverage is extremely expensive, with very few benefits or perks to show for it. You should look elsewhere for renters insurance coverage unless you are committed to using the insurance company your landlord recommends.
How Much Does ResidentShield Renters Insurance Cost?
We collected multiple quotes from ResidentShield and three major renters insurance competitors, and we found that ResidentShield was vastly more expensive than its competitors. ResidentShield charged an average bill of $333 per year for renters insurance coverage, which is more than double the average price we found and four times more expensive than the cheapest option, Lemonade.
Does ResidentShield Offer Discounts?
The discounts ResidentShield offers are meager. Renters can save $6 per year by paying their entire annual bill upfront. However, this discount is only available if you pay the whole year—paying monthly, quarterly or semiannually all have the same total price. Also, the amount doesn't change based on your premium—the discount is always $6.
ResidentShield is missing many other common discounts that other insurers offer. For example, you can't get a lower rate for having safety features like deadbolts, fire alarms or a fire extinguisher.
Sometimes, insurance companies will consider these factors when setting rates, without explicitly identifying them as "discounts." That's not the case with ResidentShield. During the quote process, you aren't asked about any of these items, so having them won't be reflected in your rates.
Renters Insurance Coverages Available from ResidentShield
The coverages available for a policy from ResidentShield meet the basic levels of renters insurance, but they don't go much further. Renters can choose to add water/sewer backup and pet damage coverage, but that's all.
Optional Coverages From ResidentShield
|Water and sewer||Pays for damage when water from a sewer or sump pump backs into your home. Does not include flooding.||$1.00 per month|
|Pet damage liability||Only covers damage after your rental deposit has been exhausted.||$1.50 per month|
Renters insurance companies frequently offer optional add-ons, but these aren't available at ResidentShield. For example, the company doesn't offer endorsements for high-value items like electronics or jewelry. You also can’t select replacement cost coverage, meaning you'll only be compensated for the depreciated value of an item in case of a total loss.
Basic Coverages Offered by ResidentShield
ResidentShield does offer basic renters insurance coverages, including:
- Personal property coverage: Pays for repair or replacement of your belongings if they are damaged or stolen.
- Personal liability: Pays for damages to others if you are held liable; for example, if someone slips in your apartment.
- Guest medical payments: Pays for medical expenses of your guests if they are sick or injured at your home.
- Additional living expenses: Pays for a hotel or other accommodation if your home is unlivable due to a covered peril.
ResidentShield Customer Service Reviews and Ratings
ResidentShield has few customer reviews, and of those we found, opinions were mixed. Some customers highlighted a strong customer service experience, while others found the process of getting a claim to be difficult. Renters who do opt for ResidentShield's coverage should review their policies carefully before filing a claim, to be sure what is covered and what isn't.
One bright spot is that Praetorian Insurance and QBE, which underwrite ResidentShield policies, both have strong financial ratings. They each received an A from A.M. Best, meaning each company has an excellent financial ability to pay out claims.