Renters insurance is a type of property and casualty insurance that provides coverage for personal belongings and liability in case of damage or loss. It is designed specifically for individuals who rent their residence, rather than own it. The policy typically covers the cost to repair or replace damaged or stolen possessions, as well as providing protection against lawsuits if someone is injured on the renter's property. Renters insurance can also provide additional living expenses in case of a covered loss that makes the rental unit uninhabitable.