Renters insurance coverage protects your belongings stored on and off premises, including your rental home, apartment, and storage units. However, it will cover your storage units only up to a certain limit, and deductibles also apply. Let us discuss the basic coverage limits for storage units under renters’ insurance and how to increase them, if required.
When Does Renters Insurance Cover Your Belongings in Storage Units?
Renters insurance reimburses the loss and damage to the storage unit items resulting from:
- Hail or windstorms
- falling objects
- explosion, fire, steam
- theft
- water
- riots
- snow or ice
If your renters insurance is open-peril type, you will be covered against every peril except those that are excluded from your policy.
Generally, you will be covered for the property loss and damage caused by the perils named in your policy. However, there can be limitations. For example, damage resulting from backed-up or overflowed water from flooding isn’t considered water damage. You may be denied coverage in such instances. Make sure to periodically review your policy, understand the coverage offered and file a claim accordingly.
Renters Insurance Coverage Limits for Storage Units
Renters insurance will cover your storage units depending on their location or the items stored in them.
If you have a separate storage unit (away from home), your coverage will be subject to a sublimit (the maximum amount your insurance provider will reimburse you). This is usually $1,000 or 10% of the coverage provided for the property stored at your rental home (whichever is greater).
For example, if your lost property’s worth is $4500, you will receive $1000, as it is greater than the 10% limit, which is 450.
Some items like guns, coins, jewelry, and electronics have their own sublimit. If your electronics are lost or damaged while in a storage unit, your provider will reimburse you considering both the sublimit of your item and that of your storage unit.
However, you will be covered up to your renters policy’s liability coverage limit, despite storing your possessions in a warehouse away from your home, if:
- Your possessions are kept in your child’s college dorm room
- Your rental home is under repair or renovation after a covered loss
How to Increase the Renters Insurance Coverage Limit?
You can consider buying the following endorsements to increase your renters insurance sublimit:
- Replacement Cost Rider – Pays for the replacement cost of your lost/damaged property.
- Scheduled Property Endorsement – Protects belongings that are not covered by your policy or have low or limited coverage.
Is Storage Unit Insurance Required?
Some storage companies provide insurance coverage to protect your personal property in storage units. You can buy this storage unit insurance to cover your possessions adequately with extensive coverage.
How to Keep Your Storage Unit Items Safe and Protected?
- Avoid storing perishable items.
- Properly cover your large items, such as a car, furniture, etc.
- Put small items in a box and seal it tightly.
- Place fragile items in a thermocol to prevent cracks or breaks.
Cover Your Storage Units with Pierce Insurance
Whether you need a basic renters insurance policy or a customized policy with additional coverage, contact us today at Pierce Insurance Group. We will help you find the best possible coverage at an affordable rate.