Storage insurance: is it a good idea?
Storage units are very convenient. If you are moving internationally, you can place your items in storage. In addition to this, if you are renovating, downsizing, office moving, and so much more, renting a storage unit is a smart choice. Units are supposed to be safe and protect your items. However, should you rely only on the unit to protect your items? The answer depends on the value of your items. If your items either have sentimental or monetary value, you should get additional protection. For this reason, you should see if storage insurance is a good idea or not.
Storage unit’s safety measures
When you are looking for sea freight forwarders, you have to check their warehouse and units. Every reliable storage facility should ensure proper safety measures. First, see where your unit is located. It can be located either in a building or outside. If your storage unit is outside, make sure there is a fence all around the facility site. Then, check the surveillance. The entire facility should be covered in cameras. In addition to this, see if your storage facility has a guard as well. Having a guard also helps since it is their job to check if all the units are closed. Lastly, you have to check the lock of your unit. If you do not like it, check if you can replace it with a sturdier one. Also, see who has the key to your unit, just you or maybe someone from the facility as well.
Is storage insurance necessary?
If your storage facility has one of the best safety measures, it is only logical to think that you do not have to get insurance. Although this might be true, storage facilities cannot guarantee that your items will be completely safe. For example, you have to think about problems that are beyond human control. There can a huge storm, a hurricane, an earthquake, and similar environmental catastrophes. No one can save your items in this situation. For this reason, you should get insurance, especially if your items are pretty expensive. In addition to this, you cannot rule out a human factor as well. Think about robberies. A storage facility can experience a power outage. Someone can use this situation to rob a couple of units. Your unit might be one of them. Therefore, it is important to be prepared for everything in advance.
Already having another insurance
Now that you are thinking about getting insurance, you should see if you can use the one you already have. For example, a fire, tornado, or something else, destroyed your home, office, or rental property. Then, you rent a storage unit so you will have a safe place for your items. If those items you plan to store, are listed in your homeowners, business, or any other insurance, it may be valid for your unit. However, this type of coverage is called “off-premise” coverage and it has its limitations. Usually, only 10% of your property will be covered in the case of natural disasters. For this reason, carefully read your contract and policies. To be completely sure, you can contact your insurance provider. They should be able to answer all your questions. Sometimes, if you are moving, the insurance might not be valid.
Should you get storage insurance from your facility?
If your already existing insurance has limitations, you should find another solution. Usually, storage facilities will require proof of insurance before handing over the keys. In addition to this, most storage facilities offer insurance. It is in their interest to sell as many insurance policies as they can as this means more profit for them. However, this insurance may exclude the following.
- Motor vehicles – almost all the insurances offered by the storage facilities exclude motor vehicles. Either get auto insurance or separate insurance for your vehicle.
- Pests – damage from pests is also not included in insurance. Check your facility’s pest management.
- Missing items – if there is no evidence of a break-in, your facility will not pay for your missing items.
- Valuable items – items such as jewelry, collectibles, important documents, art are not usually included. Therefore, find a third-party insurance provider.
What to do in the case of flooding and storms
The two most common problems, together with fire, are flooding and storms. All the reputable storage facilities take all the necessary measures to guard their facility against natural disasters. For this reason, they will not cover your items in the case of flooding or any water damage. That is why you should check if your facility might offer insurance for flooding or water damage. If not, get insurance from the third-party. On the same note, storms are also a huge problem. Some countries are more affected by earthquakes or tornados. Many will try to raise their rental prices just before the storm or afterward as people will be looking for a place to store their items. There are laws that protect consumers. You just have to check if your country has the same. However, it would be wise to get coverage in the case of storms.
Where to find the best storage insurance
Lastly, it is important to answer the question of where to get that storage insurance you need. First of all, check with your storage facility. Reliable facilities do exist and they will help you to protect your items. These facilities might offer their insurance or recommend one insurance provider. Secondly, you can find a third-party insurance provider by yourself. However, check if your insurance is valid then. All in all, should you get storage insurance? Well, it depends. If you are worried about the safety of your items, get insurance. In addition to this, if natural disasters occur quite frequently in your country, get insurance. It is always better to be safe than sorry, especially if your items are valuable.