Complacent Connecticut Renters Uninsured and at Risk

Allstate survey reveals need for better personal property protection, home
inventory check lists and education for those residents of the Nutmeg state
that just 'haven't gotten around to it'

HARTFORD, Conn., July 22 /PRNewswire-FirstCall/ -- As the number of
Americans renting homes dramatically increases with the current housing
foreclosure crisis, a new survey released today by Allstate finds most
Connecticut renters are inadequately prepared to protect their belongings.
While homeowners coverage is required as a part of most mortgages, the
more than 300,000 Connecticut residents who rent their homes face no such
insurance requirement. Without that requirement, only 50 percent of
Connecticut renters acknowledged they have renters insurance to cover their
property in case of loss, compared to just 40 percent of national survey
respondents.
The share of rental households in the U.S. jumped by about 1 million in
2007 and this group is likely to expand further if foreclosure trends
continue, according to Harvard University's Joint Center for Housing Studies.
With no relief in sight for the housing market, it is critical for renters to
be prepared to protect their possessions in case of a loss.
The survey found most renters in Connecticut underestimate the threat
theft poses to their belongings. More than half (53 percent) of the renters
surveyed estimated the number of burglaries and other property crimes in
Connecticut at less than 50,000. According to the FBI's most recent Uniform
Crime Report, there were about 15,000 burglaries in Connecticut in 2006, and
more than 60,000 cases of larceny, which also relates to theft of property.
Only 18 percent of renters guessed the number was roughly in this range.
Nationally, only 5 percent of survey respondents accurately estimated the
number of property crimes committed annually at more that 1 million.
"This survey highlights the importance of educating American families who
rent about the risks facing their possessions, said Tracey King, Allstate
Communications Manager. "It's a wake-up call to increase awareness of the
resources available to minimize these risks."
According to the survey, the biggest reasons renters in Connecticut don't
purchase renters insurance are: 1) not owning enough valuables to justify
having the insurance (35 percent) or 2) they haven't made the time to look
into it (32 percent). On a national level, the majority of renters don't
purchase renters insurance because they haven't made the time to look into it.
Allstate's survey also found that about three-fourths (73 percent) of
Connecticut renters say they have not done a home inventory check list, or
tried to estimate the cost of replacing everything in their home in the past
year or two. Fewer than one in five Connecticut renters (16 percent) say they
have taken photographs or videotaped their possessions during the past two
years to help document what they own.
"Renters often underestimate the cost of replacing everything in their
home in the event of theft or fire," said King. "Taking the time to complete
a home inventory and assess what it would cost to replace the contents of a
kitchen, living room or master bedroom closet, can be an eye-opener and
illustrate the value of renters insurance."
Misperceptions about the price of renters insurance were particularly
telling. One in five Connecticut respondents thought renters insurance cost at
least three times as much as its actual price tag. At $13 per month, the
average cost of renters insurance in Connecticut, 70 percent thought the
coverage was very worthwhile.
Additional Survey Stats
-- Other reasons Connecticut residents do not purchase renters insurance
include believing it's too expensive (22 percent) and thinking landlords are
responsible for insuring renter's personal property (9 percent).
-- Sixty-three percent of Connecticut renters say that if they could
protect only one of several types of possessions from burglary or fire, they
would choose personal items such as photographs or letters. Seventy-one
percent of women say they would save photos and letters compared to 54 percent
of men.
Today's survey release kicks off a comprehensive effort by Allstate to
encourage U.S. renters to better prepare for personal property losses.
Allstate has easy to use tools and valuable resources readily accessible,
including home inventory check lists to keep track of all personal possessions
as well as detailed information on property coverage options. Go to
http://www.allstate.com/renters-insurance to download a home inventory
checklist and for more important information. The home inventory list can also
be accessed directly here http://www.knowyourstuff.org/allstate/.
The national survey was conducted online from May to June 2008 with a
sample of 1,000 renters nationwide. Additional surveys were conducted online
during this period with 500 renters from each of the following 13 states:
California; Colorado; Connecticut; Florida; Georgia; Illinois; New Jersey;
Ohio; Oklahoma; Tennessee; Texas; Virginia; and Washington. In New York State,
200 renters were surveyed in each of four upstate areas: Albany; Buffalo;
Rochester; and Syracuse. All surveys were conducted by Opinion Research Corp.
for Allstate.
About Allstate
The Allstate Corporation (NYSE: ALL) is the nation's largest publicly held
personal lines insurer. Widely known through the "You're In Good Hands With
Allstate(R)" slogan, Allstate helps individuals in approximately 17 million
households protect what they have today and better prepare for tomorrow
through approximately 14,900 exclusive agencies and financial representatives
in the U.S. and Canada. Customers can access Allstate products and services
such as auto insurance and homeowners insurance through Allstate agencies, or
in select states at allstate.com and 1-800 Allstate(R). Encompass(R) and
Deerbrook(R) Insurance brand property and casualty products are sold
exclusively through independent agents. The Allstate Financial Group provides
life insurance, supplemental accident and health insurance, annuity, banking
and retirement products designed for individual, institutional and worksite
customers that are distributed through Allstate agencies, independent
agencies, financial institutions and broker-dealers.
Contact: Tracey King
610.251.3092

SOURCE Allstate Corporation

Tracey King of Allstate Corporation, +1-610-251-3092