What to Consider When Getting Storage Unit Insurance

Whenever you keep goods or household items in storage, there is always an imminent risk of damage, loss, or even destruction of the property. Most times, these cases are unforeseen and may cause you financial loss. To help mitigate some of these losses, you should take out insurance for your goods in storage.

Most storage companies may already have an insurance policy. Still, they may require you to take out another insurance policy depending on their policies or the nature of the goods you are storing. Below are some things you should consider when getting insurance for your goods in storage.

What Type of Insurance Cover?

Storage companies always have a running insurance cover for their property. However, most of them may require you to get separate insurance for your storage unit. Hence, the company will need you to pay them extra for the unit's insurance, though it may be limiting in terms of what the insurance covers.

When the storage company has no running insurance cover, they will refer you to a third party for your insurance needs. This is where another insurance company insures your property on behalf of the storage company.

You can also take out a personal cover for your items before storing them at the storage unit. Most storage companies may accept your personal homeowner's insurance or even your renter's insurance, provided you can show support for the same. In this case, you will not have to pay extra for the insurance cover.

What Does the Insurance Cover?

You need to read and understand the details of what your insurance covers, whether you choose to go with the in-house insurance option, the third-party insurance option, or even your personal insurance cover.

Make sure the insurance covers damage to the goods. When storing items in a storage unit, they may get damaged or broken, especially in the moving and handling process. If your insurance covers this, they will compensate you if any of your goods get damaged during moving, handling, or storage.

Make sure the insurance cover natural disasters. Natural calamities such as floods or extreme heat are unpredictable and can cause damage to your goods such as furniture and electrical appliances while in storage. A good cover will compensate you if any natural disaster damages or destroys your items while in storage.

You may need extra insurance for some specific items that may not be under the company's insurance cover. Some storage companies may not cover motor vehicles, recreational vehicles, or boats. In this event, you may have to take out a different insurance policy if you store any of the abovementioned properties.

Also, ensure that you take out extra cover if you store expensive items such as authentic fur clothing, gold, diamond, or other precious metals. The storage company's insurance agreement may not capture these high-value items or even high-value documents.

What is the Storage Company's Policy on Insurance?

Familiarize yourself with the storage company's insurance policies before signing your agreement. You should try to understand what insurance covers they offer and what compensation you would receive in the event of loss, damage, or destruction of your property.

You should also understand the pay-out or compensation process in the event of a compensation. If at all you are taking out a third-party insurance cover, or a personal cover, you should ask what support the storage company will give you in the event you are filing for compensation.

Do not let storage insurance prevent you from safely storing your items in a storage unit. Talk to us today, and we will advise you on the best storage unit for your goods and the best insurance options.