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View Full Version : STORAGE SHED RENTALS MISTAKE


Tracy
05-08-2001, 05:20 PM
This message does not pertain to fishing, but it does pertain to the storage of your gear in the "YOU STORE TYPE" STORAGE RENTAL SHEDS that are found everywhere accross our country. I am posting this message in hopes that what has happened to me will not happen to any of you.

One and a half years ago I set out to secure a storage shed at the local Public Storage. I settled on a 10'x10' unit. As I was filling out the neccessary paperwork I was led to believe that I would need to purchase a form of rental insurance from the company that had contracted to offer this service to the clients of this particular Public Storage. I purchased a policy that had coverage of $2,000 which at the time was more than adequete to cover my belongings. I needed this extra space in order to make room for the remodel that I was completing in my basement. As I progressed on this remodel more and more of my belongings found their way to the storage unit.

One year ago, my unit along with 16 others were broken into. The locks were all forced off of the doors. Everything that I had placed in this unit that was of any value was stolen (well over the $2000 coverage limit that I had purchased). I filed all of the neccessary police reports, called the insurance company, filled out my insurance claim, and sent all of this information to the insurance company whose policy I had purchased.

It now has been 1 year since the break-in occurred and I have yet to see a settlement. The company I am paying to insure my items at the Public Storage is refusing to settle this claim because I also have Homeowners Insurance. My Homeowners Insurance is refusing to pay this claim because I purchased a seperate policy to cover the articles that were contained in the storage unit.

MY POINT IS THIS: To any or all who are considering renting a storage unit to store your belongings in PLEASE consult your Homeowners Insurance Agent prior to renting one of these sheds. Most Homeowners Ins. Policies do cover items that are stored off of the premisess (mine did), but it has an exclusion clause that states items seperately insured by other means will not be covered. My Homeowners Policy would have covered this LOSS IN FULL had I not been so naive in believing that i needed to purchase the coverage to insure the contents of my rental shed.

If perhaps you have fallen victum to the purchase of un-neccessary insurance as I did, please read your policy closely. Then contact your Homeowners agent and inquire about coverage of your items that are stored off premises. The limits of covergae on the policy that I purchased at Public Storage for theft were 50% of my coverage less a $100 deductable or $900 in this case. my loss was well over $2400. NOTE AGAIN that my Homeowners Policy would have covered this in full.

I have been fleeced. Hopefully you will not be.

Sunshine
05-09-2001, 07:22 AM
Thanks for the heads-up!

chadk66
05-09-2001, 08:03 AM
I sold insurance a few years back and I think there is still hope for you. I do believe that your homeowners would have to kick in after that initial $2000 was extinguished for anything above that. A standard homeowners policy will cover up to $10,000 of personal property away from your home. I also think there may be some recourse since you have not received any money from that $2000 policy. I urge you to call you state insurance commisioner, this type of thing goes on all the time and most of the time insurance companies get away with it because nobody calls em on it. Even if it is a gray area, the fact that the insurance commissioner is looking into it will put the company on notice and most would rather pay you that small amount than mess around with the state commissioner. Hope it works out for you. Also, at last resort ask an attorney about a claim with the rental place, after all they sold you the policy. Also if they solicited and sold the policy to you, they have to be licensed to sell insurance and I would bet they aren't.

BoatVAC
05-09-2001, 09:14 AM
Thanks to Tracy for the info, I am about to rent one month of storage for boat during our vacation saves parking in hotel lots.
Boat being worth $ 6,000 my homeowners does cover it.

Chuck Pederson MN
05-09-2001, 09:35 AM
If I were you I'd file a complaint with your states commerce dept. It wont cost you anything and will really shake the company up. They will be in a mad scramble to settle. The amount is low to them and you can bet they will want the commerce dept. off their back. Just write them a letter no attorney or anything and you will hear and soon. Good luck.

Tracy
05-09-2001, 04:53 PM
Chadk66
Thank you for the advice. I will pursue your suggestions.

Today I received a letter from the company that I purchased the insurance policy from at Public Storage. This letter stated to me and my homeowners claims representative that this claim, in their belief, was a pro rata claim since I do have homeowners insurance as well eventhough my homeowners policy has an exclusionary statement on items seperately insured. Like I stated in the original post, the policy I purchased at Public Storage was for $2000 of coverage at a cost of $6.00 a month. This policy has limit of 50% of the total coverage for theft less a $100 deductable. The most that the insurance company could be liable for in my case is $900. Will they pay me this amount? NO. They will pay my claim on pro rata basis. Which, if I have calculated correctly will be about $300 (about 16% of my total coverage between the 2 policies less the $100 deductable). I think that I will begin paying the premium on a pro rata basis. If and when this claim is settled I will cancell the additional unneeded insurance policy at Public storage. The rest of the $2400 of this claim is a life lesson. Buyer/renter beware.

Did I mention that I had my 6 horse kicker, golf clubs, waterskis, kids solid wood rocking horse, ... in that shed.

Tracy