When you store items away from your main residence, you might wonder if your renter's insurance policy will cover such items. In this article, we are going to answer the following question, “does renters insurance cover items in storage units?” The short answer is “yes.” Your policy will cover anything kept in a storage unit so long as it’s specified in your policy. If it’s not on the policy, you may not be able to claim it. Items generally included in policy coverage are furniture, electronics, home appliances, and clothing. These items are covered in case of a fire, water damage, tornado, or robbery. However, damage from flooding, earthquakes, or pests is not generally covered. It’s important to note that items must be primarily stored at your residence or storage units. Damage caused while items are kept elsewhere while being repaired or restored would not be covered by your policy. Additionally, you would not be able to claim items kept at another residence. For instance, an item damaged at your parents’ home would not be covered by your renter's insurance policy.
How Much Does Renters Insurance Cover for Items in Storage Units?
On the whole, your policy may cover up to 10% of your overall policy amount. For example, if your policy covers up to $100,000 you would be eligible for $10,000 for items in storage units. Naturally, there are limits to the payout for individual items. As such, items are not paid out by their full market value. Instead, payouts are based on commonly established limits.
Here are some common examples:
• Consumer electronics - $1,500
• Jewelry - $1,500
• Luxury watches - $1,500
• Plants - $500
• Illegal charges on a credit card - $500
• Cash - $200
You must check your policy limits. Depending on the terms of your policy, your limits might be much lower. Plus, your policy may not explicitly cover items in storage. If you move to a new apartment, you would be covered during your move. Policies typically cover your old and new homes for a maximum of 30 days. Once your 30 days are up, you must update your policy address immediately.
Here are some common examples:
• Consumer electronics - $1,500
• Jewelry - $1,500
• Luxury watches - $1,500
• Plants - $500
• Illegal charges on a credit card - $500
• Cash - $200
You must check your policy limits. Depending on the terms of your policy, your limits might be much lower. Plus, your policy may not explicitly cover items in storage. If you move to a new apartment, you would be covered during your move. Policies typically cover your old and new homes for a maximum of 30 days. Once your 30 days are up, you must update your policy address immediately.
Would It Be Better To Buy a Storage Unit?
Buying a storage unit makes sense only if a renters policy is unable to cover at least 80% of the value of your items. If you’re limited to 10% coverage, buying a storage unit from speciality insurance would net you higher coverage. In some cases, you can get up to $15,000 for your items. If you’re keen on simply renting the storage unit, then buying the insurance directly from the storage company can get you much better terms than your renter's policy. For example, if your renter's policy covers $5,000, and you get an additional $15,000 from the storage company, you can net $20,000. Some folks opt to increase the coverage on their renter's policy. While this option will cost you more in the short-term, it will benefit you in the long run. Depending on the overall policy limit, you can easily double your payout for items in storage.
How Much Does a Storage Policy Cost?
Additional storage policies are quite affordable. While they range in price, they won’t set you back too much. Generally speaking, renters' policies cost about $30 a month. A storage policy can cost as much as a standard renters policy. However, the payout is worth the cost. Here is a ballpark figure you can expect to pay for a storage policy:
• $4,000 in coverage - $5 to $10 a month
• $10,000 in coverage - $15 to $20 a month
• $15,0000 in coverage - $20 to $25 a month.
As with any type of insurance, it pays to shop around. Nevertheless, if you are serious about keeping valuable items in a storage unit, it would make sense to get additional coverage. That way, you can double up on both your renters and storage policies. Ultimately, this will give you the peace of mind you need when keeping precious items away from your home.
• $4,000 in coverage - $5 to $10 a month
• $10,000 in coverage - $15 to $20 a month
• $15,0000 in coverage - $20 to $25 a month.
As with any type of insurance, it pays to shop around. Nevertheless, if you are serious about keeping valuable items in a storage unit, it would make sense to get additional coverage. That way, you can double up on both your renters and storage policies. Ultimately, this will give you the peace of mind you need when keeping precious items away from your home.