Millions of homeowners across the country use self-storage facilities to store items they may not be able to store at home, for example, due to inadequate space. Self-storage facilities are a blessing, but you shouldn't assume that your standard home insurance policy extends to them. The following discussions will educate you on home insurance coverage as it relates to self-storage facilities:
Coverage Is Provided
Technically, standard home insurance policies offer coverage for your belongings outside the home. The coverage is available under personal property coverage. In fact, this protection applies anywhere in the world. What matters is that you can prove that you have lost a personal property. Therefore, when storing items in a self-storage facility, keep a record of the said items (list and pictures would do) as well as their receipts. That will make it easy for you to file a claim in case of a loss.
Personal Property Coverage Limits Are Relatively Low
Although a standard policy will protect your personal belongings anywhere, it does have a limit just like other forms of insurance coverage, and the limits are relatively low. For example, it may be as low as only 40% of your overall home insurance limits. Of course, this may not be a problem if you are storing relatively inexpensive things, but the coverage may not be enough for high-value items.
Sub-limits May Apply
The personal property coverage limit may be low, but it is still relatively high compared to the off-premises property sub-limit. Many insurers apply a limit specifically for personal properties stored outside the home. This is what you tap into when your personal belongings are stolen from your car, when your purse is snatched, or when your items in self-storage are stolen.
Another sub-limit may apply for valuable items such as electronics and jewelry. In fact, don't be surprised if your valuables are only protected by a $1,000-dollar limit.
There May Be Exceptions
Lastly, your off-premises coverage may not protect your stored items against all manner of risks. Typical exceptions include flood and rodent damage. Some insurers also exclude expensive items stored outside the home from this coverage.
As you can see, the protection is there, but it is limited by a number of coverage limits and exceptions. Talk to your insurance agent first before taking your belongings to a self-storage facility. In most cases, it's advisable to buy additional coverage, especially if you plan to store valuable items.
Contact an insurance office like Daniel L. Rust Insurance for more information and assistance.