Do I need tenant insurance in Ontario?

The short answer

There are two separate answers: the law does not require it, and the lease usually does. What it covers is contents, personal liability, and the cost of living elsewhere after an insured loss.

What does the landlord's policy actually cover?

The building and the landlord's own liability. It does not cover a tenant's furniture, electronics or clothing, and it does not answer a claim made against the tenant, for example where water escaping from a tenant's unit damages the units below.

Personal liability is the part most often underestimated. A fire or flood traced to a tenant's unit can produce a claim far larger than the value of everything the tenant owns.

Additional living expenses is the third piece: where a unit becomes uninhabitable after an insured loss, the policy pays the added cost of living elsewhere.

What does this mean for a renter in Ontario?

The lease is the document that decides whether it is mandatory, and most Ontario leases now require proof of it. The policy itself is inexpensive relative to what it insures.

A tenant policy follows the tenant, so belongings are covered away from the unit as well, within the policy's terms.

Nothing on this page is a recommendation about a particular limit or insurer.

Related questions

• Do I need condo insurance if the building is insured?
• What is an insurance deductible?