The Self Storage business owners policy includes property, liability, and specialty coverages and offers the highest level of flexibility in coverage customization, limits, and deductibles. Some coverages may not be available in all states. Coverage limits vary by state.
Coverage is provided for the following exposures:
- Buildings and structures including fences, building glass, signs, walks and roadways, and buildings under course of construction
- Business income (actual loss incurred up to 15 months, with higher options available)
- Business personal property including mini-computer equipment
Coverage features include the following:
- Business income coverage includes extra expenses
- Deductible options of $1,000, $2,500, $5,000, $10,000, $25,000, $50,000, and $100,000
- Extended business income is included up to 180 days beyond the date of repair or replacement
- No co-insurance clause
- Replacement cost coverage
Additional coverage is provided for the following exposures:
- $10,000 employees’ personal property (may be increased up to $15,000)
- $10,000 fine arts coverage (may be increased up to $250,000)
- $10,000 recharging of fire protection systems
- $10,000 trees, shrubs and plants (not to exceed
- $1,000 on any one tree, shrub or plant)
- $20,000 additional media and data coverage (may be increased up to $250,000)
- $25,000 accounts receivable coverage (may be increased up to $250,000)
- $25,000 personal property off premises and in transit
- $25,000 pollutant cleanup and removal (must result from a covered loss and be reported within 180 days). May be increased up to $100,000
- $25,000 valuable papers and records coverage (may be increased up to $250,000)
- Building ordinance coverage included up to full property limit
- Fire department service charge is actual loss sustained in lieu of a $5,000 limit
- Identity recovery coverage is included. This coverage provides case management service and expense reimbursement coverage if certain requirements are met.
Crime
- $10,000 forgery
- $10,000 money on premises and $5,000 money off premises
- $15,000 employee dishonesty (higher limits available)
Customer Goods Legal Liability (optional)
- Coverage against loss or damage to customers’ personal property for which the insured may become legally liable, including property stored in the open
- Includes defense against allegations
- Limits available from $25,000 to $1,000,000
Sale And Disposal Liability
- Coverage for claims against the insured for negligent acts arising from the lockout, sale, removal or disposal of customers’ property when reclaiming rented space for which rental or other charges are delinquent or unpaid
- Includes defense against allegations
- Limits available from $10,000 to $1,000,000
Limited Pollutant Removal (optional)
- Coverage is afforded to all the spaces at the insured facility, not just to units that are rented after the date of coverage
- Facilities over 1,000 units, limits of $100,000/$200,000 and $200,000/$400,000
- Limits of $25,000/$100,000 and $50,000/$200,000 available
- Pays for costs to remove pollutants from a storage unit required by the appropriate statutory authority
General Liability:
Coverage is provided for the following exposures:
- Business liability ($1,000,000 occ/$2,000,000 agg or $2,000,000 occ/$4,000,000 agg limits available)
- Hired and non-owned auto liability
- Medical expenses ($10,000 limit)
- Personal injury and advertising injury
Umbrella Coverage (up to $10 million)
Claims examples:
CUSTOMERS GOODS LEGAL LIABILITY Coverage against loss or damage to customers’ personal property for which the insured may become legally liable, including property stored in the open. Also includes defense against allegations. A tenant informed the facility manager that he could see sunlight coming in through the corner of his unit’s roof. The manager told the tenant that he would get it repaired. Six months later, a large rain storm soaked through the roof and ruined the tenant’s valuable antique furniture. The owner was contacted by an attorney stating that the damaged furniture resulted in a loss to his client. The owner was found to be negligent by failing to repair the known issue with the roof, and the tenant received a substantial payment for his claim.
SALE AND DISPOSAL LIABILITY Coverage for claims against the insured for negligent acts arising from the lockout, sale, removal or disposal of customers’ property when reclaiming rented space for which rental or other charges are delinquent or unpaid. Also includes defense against allegations. A tenant fell delinquent, and, after four months of failing to make rent payments, her items were sold at auction. The self-storage owner felt that he followed all applicable laws and rules in notifying the tenant prior to the auction. One month later, the owner was contacted by the tenant’s attorney stating that the owner was negligent for failing to adhere to a specific statute requiring the owner to send notice to tenants by certified mail. The owner was found to be negligent by not notifying the tenant by certified mail of the status of her delinquency.
LIMITED POLLUTANT REMOVAL Pays for costs to remove pollutants from or detoxify a storage unit when required by statutory authority. Coverage is afforded to all the spaces at the covered facility, not just to units that are rented after the date of co
