Does Tenant Insurance Cover Theft or Fire Damage?

Two of the most common and costly risks renters face are theft and fire. Whether your apartment is broken into or your unit is damaged in a building fire, the losses can be devastating. Thankfully, tenant insurance typically includes both events in its core coverage—offering crucial support when you need it most.

This matters when you realize that your landlord’s insurance covers the building, but not your things. You might think about this the next time you calculate the cost of replacing a laptop, wardrobe, or all your furniture at once.

Theft and Fire Are Generally Covered

Tenant insurance in Canada is designed to protect your personal belongings from a range of sudden, unexpected events—and both theft and fire are usually included. If your apartment is burglarized, you can file a claim for the stolen items. If a fire damages your unit, the policy may reimburse you for smoke-damaged clothing, destroyed electronics, or even replacement of essentials like cookware or bedding.

Covered Event	What Tenant Insurance Typically Pays For
Theft	Stolen electronics, jewelry, cash (up to policy limits), clothing
Fire	Damaged or destroyed belongings, smoke damage, temporary housing

Note: Coverage is subject to your policy limits and deductible. If your belongings exceed the standard limit—for example, high-end jewelry or a designer handbag collection—you may need to increase your contents coverage or add a rider.

How Claims Work in Each Situation

If your home is burglarized, you'll need to report the theft to the police and provide your insurer with a list of stolen items, along with any supporting documentation like photos, receipts, or serial numbers. Most policies will pay either the actual cash value (replacement cost minus depreciation) or the replacement cost depending on your plan.

For fire damage, claims typically include not just the cost to replace your belongings, but also additional living expensesif your unit is uninhabitable. That can cover hotel stays, meals, and other costs while repairs are made.

Tip: Keep a photo or video inventory of your belongings in cloud storage. It can speed up the claim process significantly after a fire or theft.

Are There Any Limitations?

While both theft and fire are generally covered, your insurer may deny or reduce the claim if:

You left doors or windows unlocked (negligence)
The cause of the fire was due to illegal activity or severe carelessness
You failed to provide proof of ownership or adequate documentation

Caution: Some policies limit how much you can claim for cash, bicycles, collectibles, or business equipment. Always check your policy wording for category caps.

A Core Reason to Have Tenant Insurance

Fire and theft are among the most disruptive events renters can experience. Tenant insurance provides financial protection so you're not starting from scratch. With modest premiums and wide protection, it's one of the most accessible ways to protect yourself against two of the biggest risks in any rental.