The Best and Cheapest Renters Insurance in Louisville, KY, for 2024: Rankings, Reviews and Rates

When evaluating renters insurance, the cost is a significant factor to consider for renters in Louisville, as plenty of companies offer similar standard coverage. This is why comparing quotes is crucial to find the cheapest renters insurance that suits one’s needs.

MoneyGeek evaluated the companies offering the best cheap renters insurance in Louisville and found that the best insurers on average include:

• USAA: $87 per year (only available for current and former military members)
• State Farm: $109 per year

USAA policyholders can get even better value for their money as all policies reimburse policyholders for items at replacement cost and all policies cover flood and earthquake damage.

MoneyGeek gathered these prices based on policies with $20,000 in personal property coverage, $100,000 in liability coverage and a deductible of $500. See how prices can change based on personal property coverage limits below.

MoneyGeek also gathered information on the cheapest renters insurance in the state of Kentucky as a whole.

Looking for the best renters insurance requires looking beyond costs. MoneyGeek’s study on companies that offer the best renters insurance in Louisville are:

• Best Overall: State Farm
• Runner-Up: Allstate

USAA received the highest score in Louisville by MoneyGeek's rating system. However, because USAA is only available to military members, veterans and their families, it is not listed as best overall.

MoneyGeek examined these companies based on a unique rating system that looks at affordability, customer satisfaction ratings from J.D. Power and financial stability ratings from AM Best. These companies also offer unique coverages not seen in all renters insurance companies.

The cost of renters insurance depends on the location. The average cost of renters insurance in Louisville is $128 per year or $11 per month, which is $31 less than the national average.

Louisville renters insurance is 19.0% less than the U.S. average.

While there are several factors that impact the cost of renters insurance, the following are the most impactful to the amount you will spend.

1. Personal property coverage amount – By far the most important factor that determines the cost of a policy, personal property coverage can cover many damages often caused by natural disasters like tornadoes and wildfires.
2. Location within a city – Certain areas come with more risks than others, such as higher crime rates or the likelihood of natural disasters. However, MoneyGeek found that crime rates tend to have a minor effect on the cost of renters insurance.
3. Deductible – Deductibles are the fees a policyholder must pay before receiving payouts in a claim. The higher the deductible, the lower the premiums and vice versa.
4. ACV vs. RCV – The actual cash value (ACV) is where an insurer will pay for the depreciated cost of the loss or damage of a claimed item. Replacement cost value (RCV) is where an insurer pays policyholders the full cost of an item with no depreciation, which lets them purchase items of similar value.
5. Liability coverage amount – While the amount of liability coverage affects the cost of renters insurance, the impact is minimal. Policyholders can add thousands of dollars of coverage with just a few extra dollars per month.

Location is definitely a factor that’s considered when it comes to renters insurance. However, MoneyGeek’s study found that the neighborhood a policyholder lives in only has a minor impact on the cost of renters insurance by a few dollars a month.

Renters insurance is not a legal requirement unless stated by a landlord. However, MoneyGeek strongly recommends that renters get rental insurance since it’s a low-cost way to protect themselves from any damage or losses that may occur under certain circumstances.

There is no one-size-fits-all when it comes to renters insurance, which is why it’s important that all Louisville-based renters select the coverage that meets their needs.

For instance, Louisville residents should consider getting renters insurance as it can protect them from theft. According to the FBI, Louisville has a property crime rate of 3,309 per 100,000 people in a year, which is 75% above the national average.

Renters may also want to protect themselves against the risk of fire or water damage, as it can happen anywhere and any time. Here is what renters insurance typically covers:

• Personal property coverage – This covers policyholders who have experienced the loss or damage of personal items such as appliances or electronics when they make a claim.
• Additional living expenses – In the event that a rental is uninhabitable, this covers the cost of temporary living expenses.
• Liability insurance – If a third party experiences an accident or injury on the rental property, this coverage helps pay for any legal expenses if a claim is filed against the renter.
• Medical payments coverage – This covers any medical bills for injuries sustained by or accidents that occur to a third party in the rental property.

While renters insurance covers quite a few things, it has its limits. For instance, it can cover the property but not the structure of the home. Landlords or property owners are responsible for insurance that covers the structure.

While water damage is covered, not all situations are covered. If it’s a result of flooding, this is not often covered in standard policies. Renters should consider buying incremental insurance to cover this through the National Flood Insurance Program (NFIP).

For renters who have a roommate, renters insurance will not cover their roommate’s possessions. Any damages that occur from natural calamities like earthquakes, damage to the policyholder’s car and items of significant value beyond the policy limits are also not covered.

Individuals who intend to get renters insurance in Louisville should read policy contracts carefully to ensure that everything needed is covered.

For tenants interested in getting renters insurance in Louisville, MoneyGeek has rounded up a few common questions below.

MoneyGeek analyzed hundreds of renters insurance quotes in Louisville to help you find cheap renters insurance. The best renters insurance rankings were determined using data from J.D. Power, AM Best and our affordability metrics that are derived from a comprehensive analysis of quotes provided by Quadrant.