Do I need insurance for my self-storage unit?

1. What do home policies cover?

   A home or renter’s policy probably gives you some coverage for things stored away from home. But most coverage is limited to a percentage of your personal property limit, usually from 10% to 20%. What’s that mean? Well, if you have a 10% limit and $50,000 worth of personal property, you could get up to $5,000 if items in your storage unit are stolen or destroyed. Check with your agent if you need a higher amount of coverage. And keep in mind, you’ll need a separate policy for flood damage.

2. What about costly items?

   If you have expensive collectibles, art, furniture, or other valuable items in storage, think about adding coverage specifically for those items. Tell your agent what you have and where you keep it, so they can make sure the coverage you have will apply.

3. Should I buy insurance from the storage company?

   Some self-storage facilities are licensed to sell insurance. But before you buy it, read the contract carefully. Each policy can be different, so make sure the insurance you buy covers the items you’re storing, for the amount you think they are worth, and from the most likely disasters. These policies usually cover wind damage, but not floods.

Resources

• Collectibles: Why you may need extra insurance coverage
• Flood insurance: Why you need a policy and what it costs