Does Homeowners Insurance Cover Storage Units?
Storing personal property in storage units is a convenient way to protect your belongings. Many people use them to store furniture, bicycles and other important items, to help unclutter their homes or as a place to store belongings during a move. Knowing whether or not your things are protected before you sign a storage unit rental contract will help give you peace of mind about the safety of your belongings.
Will My Homeowners Insurance Cover My Storage Unit?
Similar to the protection your property has while in your house, your homeowners insurance personal property coverage will cover items in storage units. That means if the storage unit has a fire, your property may be covered, just like they would be in your home.
But you’ll want to keep in mind that the belongings in a storage unit may not be covered at the same amount as the ones in your house. That’s because some homeowners policies might only cover “off-premises” personal property for a percentage of the personal property insurance limit. Some items such as jewelry, watches, furs, tools, firearms, collectibles and other items have limited coverage. For those types of items, you may want to purchase scheduled personal property coverage to protect their value.
Do I Need Insurance to Use a Storage Unit?
Many storage unit providers will require you to have homeowners or renters insurance before you can rent a storage unit. Generally, you will need to bring along a copy of your insurance as proof before you can sign a contract. Some companies may offer insurance through a separate carrier to protect the value of your belongings. You should ask for the specifics of their policy and compare it to your homeowners or renters insurance, as you may find the insurance you already have covers your things.
When Are Storage Units Not Covered?
Whenever your homeowners or renters insurance has an exclusion to a specific kind of damage, loss or certain kinds of personal property, that will extend to the items in your storage unit. Rodent infestations, flood damage and theft without proof of a break-in are just a few things that most policies won’t cover. And if you only have insurance through the storage company, their policies may not cover natural disasters. Check with your insurance agent if you’re unsure whether or not your items are covered while in a storage unit.
Additional Considerations for Items In Storage
Before you get a storage unit for your belongings, there are a few things you should consider. If your current homeowners or renters insurance only covers your personal property up to a limited amount, you might want to look into raising your current insurance limit. Not only will that give you a higher amount for your off-premises items, the items in your home will be insured for more.
Some high-value items, like art, antiques and jewelry may not be covered by your homeowners or renters insurance, although they may have limited coverage if stored off-premises. Consider scheduling these items to protect their value in the event of a loss, like theft, fire damage or damage from mishandling. Inspect the storage unit facility before agreeing to anything, and ask if they have an exterminator to prevent damage from rodents.
Homeowners and renters insurance are valuable coverages for more than your personal belongings at home. Know what your policy covers when choosing a storage unit to store your items and protect the value of your things by having the right amount of coverage. Connect with your American Family Insurance agent to ensure you’re protecting what matters most.