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Pepper, Johnstone & Company Blog

All You Ever Wanted to Know About Insurance

What is mini-storage insurance, and why do I need it?


The self-storage market is expected to reach a value of $49.24 billion by 2024, with an annual growth rate of 134%. The industry is expected to be incredibly lucrative, but it doesn’t come without risk. If you have invested in the self-storage industry, you will want to be sure to protect your financial assets with mini-storage insurance

Why your business needs mini-storage insurance

Tenants of mini-storage units are generally expected to insure the goods that they keep in their self-storage units. As a mini-storage business, most providers like to roll the cost of a basic insurance package into the monthly rent. One reason that your business needs to offer mini-storage insurance is to help your consumers repair or replace any property that gets damaged or destroyed while in storage. Another purpose is to protect yourself from potential hazards that could affect your business.

There are many reasons that your business and your tenants need this insurance. Here are a few examples of why providing coverage is a good idea:

  1. Your consumer’s items are sentimental or of high monetary value.
    Providing resources and protection for items that are valuable to your tenants is a fundamental business practice for self-storage companies.

  2. Security purposes
    Even if you use security features to guard your business, burglaries can still occur in your facility. Having protection against these measures can provide your tenants with the protection they need.

  3. Weather
    In the southeastern U.S., inclement weather such as tornadoes and severe thunderstorms can damage property and ruin valuables.

Types of Insurance to consider 

Well, now that we understand that mini-storage insurance is useful and indispensable for your business, what kind of insurance do you need to consider? As a self-storage business, your company typically needs a variety of insurance coverage types. 

Tenant insurance of this nature is undoubtedly excellent insurance, but it's not enough on its own to protect all the potential hazards of a self-storage business. There are a few other specialty business insurances to consider, as well:

  • Commercial Property Insurance
    Commercial property insurance protects businesses from everyday accidents such as leaks, pests, and fires. Additionally, this insurance can also protect from certain inclement weather risks. 

  • Liability Insurance
    Liability insurance focuses on bodily injury and property damage that occurs on your premises for which you are found negligent. These incidents include accidents on company property that may cause damage to tenant property. This liability incidents also refer to slips and falls that occur on your premises by tenants or authorized vendors.

  • Theft and Vandalism Protection
    Theft and vandalism coverage protects your business against physical thefts from your tenants' storage units. This protection also covers vandalism to the structures and other property on your premises.

  • Temporary Closure Coverage
    If your mini-storage facility closes due to an emergency, temporary closure insurance can help cover your expenses and lost income until you return to normal operations. 

Is mini-storage insurance right for you?

Overall, pursuing insurance for your mini-storage business is imperative in protecting your assets and your tenants’ property. As you dedicate yourself to helping your customers protect their prized possessions, at Pepper, Johnstone & Company, we are committed to protecting your business. 

As an independent insurance agency, we take a consultative approach when working with you. We understand that each mini-storage business will have a unique combination of insurance needs. We'll be happy to go over your options and come up with the best possible package that meets your needs. 

Pepper, Johnstone & Company is independently owned and locally operated to handle your insurance needs be it commercial insurance, home insurance, or just general insurance.  We focus on Athens and offer affordable and reliable insurance choices all across Alabama, Georgia, Mississippi, North Carolina, South Carolina, Louisiana, and Tennessee.  We will help you find the right combination of tailored, personalized insurance coverage at just the right price to fit your needs. Contact us today to learn more about how we can help you.