We have a question (homeowners) that no one is 100% sure of the answer and after not seeing anything on FC&S, I offered to reach out to you.
If an insured has a storage unit, would the name perils on their homeowners policy cover the personal property in storage?
Vermont Subscriber
The ISO HO 00 03 05 11 pays 10% of coverage C, or $1,000, whichever is greater, for property in a self-storage facility. The limit doesn't apply if the property has been moved because the dwelling is unfit to live in or store property in, and is being remodeled, renovated, or repaired. The updated 2022 edition has changed that limit to $1,500 instead of $1,000.
That limit can be increased with endorsement HO 06 14 Increased Amount of Insurance for Personal Property Located in a Self-Storage Facility, which allows the insured to schedule an increased amount of coverage for property in a storage facility. An additional premium per $1,000 applies. This is different than the Additional Coverage for Property Removed – that coverage applies if the property is removed from the home to protect it from a wildfire, for example. That coverage specifically says that property is covered against direct loss from any cause (emphasis mine). That clause does not apply to property that is simply being kept in a storage facility because a family member can't part with great-Aunt Margaret's antique furniture, for example. (or record collection, or whatever folks want to pay storage costs for!).