Insurance on items at a self-storage facility

It seems that no matter the size of your home, there is never enough storage space.

As a result, many opt to keep their excess or out-of-season items in self-storage facilities. These businesses charge monthly rent to clients in exchange for giving them exclusive access to a storage unit.

Do you need insurance?

Most of these facilities feature security and safety features, including sprinklers, video surveillance, gated access and security guards.

Given all these features and your existing homeowner’s insurance policy, you might be wondering if it is necessary to take out a self-storage insurance policy.

In most cases, the answer is “yes”.

While your homeowner’s policy covers most items if they are stored in your home, this coverage does not usually extend to items stored at self-storage facilities. If the items are of a high value, the policy might not cover them in full even when kept at home.

As for the security and safety features of the facility–nothing is perfect. The facility should have an insurance policy of its own, but it may not cover you for sure.

Should you use the facility’s policy?

When you rent a storage facility, the company will probably offer you a policy through them. While these policies generally offer the coverage needed, they tend to be more expensive than they would be through a broker. This is especially true if the company offering the most suitable self-storage policy is one you already hold another policy with.

What is covered?

In order for the majority of self-storage insurance policies to be valid, you must prove that your property is stored at a recognized storage facility and you are paying rent. These policies should cover damage and loss from fire, lightning, vandalism, burglary and water damage. You may be able to purchase additional coverage to protect against hurricanes, tornadoes, wind, hail, water, smoke and earthquakes.

Keep in mind that high-value items, such as jewelry and cars will almost always require additional riders to adequately insure.

If you are interested in purchasing a policy to cover your items stored at a self-storage facility, speak with an experienced insurance broker.