Every self-storage facility owner/operator is subject to litigation from tenants who have suffered damage to their goods while in storage. Fortunately, courts have generally held that one acceptable defense strategy is to offer customer storage insurance (CSI) to your tenants. That’s why most savvy self-storage operators offer a CSI program, which can help reduce or eliminate a major insurance exposure while providing a valuable service to tenants. By making CSI available, you can help reduce the likelihood of litigation for damages to your tenants’ stored goods. Self Storage Insurance.

What exactly is Customer Storage Insurance (CSI)?
It is an insurance policy specifically designed for tenants, the customers of self-storage facilities. It typically provides short-term, low-cost coverage for specified perils, such as fire, hail, wind, lightning and other covered causes of loss. Self storage insurance usually also provides a limited amount of burglary coverage. (Note that while most homeowners’ policies will provide a limited amount of off-premises coverage, most self-storage tenants are transient by nature and do not have homeowners’ policies). CSI can protect your tenants’ stored goods while ensuring your peace of mind. By simply making CSI available, you can help reduce the threat of litigation for damages to your tenants’ stored goods. Self Storage Insurance.

Facts About Customer Storage Insurance (CSI)

• All self-storage facility owners/operators are subject to litigation from tenants who have suffered damage to their goods while in storage.
• One of the key elements in any legal defense against claims of negligence or liability (on the part of the operator) is whether or not customer storage insurance was made available to the tenant while he/she was renting storage space. Self Storage Insurance.
• Today’s judges are more likely to uphold the exculpatory provisions contained in your self-storage rental agreement when you make CSI available to your tenants.
• There are precedent-setting court cases in which the self-storage operator was found to be not liable for damage to a customer’s goods because CSI was made available.
• Customer storage insurance must be considered a necessity and should be made available to every tenant.