Weighing in on Mandatory Tenant Insurance in Self-Storage
A few weeks ago I blogged about the importance of offering tenant insurance to your self-storage customers. I also posted a thread on Self-Storage Talk asking members if they offer tenant insurance and whether they think it should be mandatory to rent a unit.
SST member delsolrp13 replied, “We just ran a trial month of mandatory insurance. We reverted back to required to have insurance as of 9/1.. There is a difference in required and mandatory....We did lose a few rentals but the biggest issue I had was how the customer's reacted to us demanding they buy or provide proof of insurance on their own items at time of signing the lease...We strive to excel in customer service and you could feel the tension and negativity it created. We work very hard to make customers feel ‘good’ about renting from us and make it a positive experience...We get a large number of rentals from referrals from current or previous customers...”
While some members agreed getting customers on board with the “must-have” insurance has been a challenge, others said it is doable. Member unclelourocks said his facility also recently instituted a mandatory insurance policy for all renters. His trick to keep people from walking out the door is quoting unit prices including the tenant insurance. “Seems to make it a lot better. I tell them it is a special price with insurance included (makes it sound like its free),” he posted.
Industry veteran Mel Holsinger of Professional Self Storage Management encourages self-storage operators to seriously consider making tenant insurance mandatory to rent. Read this article on why he thinks this is a good thing for the industry.
Still skeptical? What if told you in addition to helping protect your tenants, this type of insurance can also help you make a few bucks. Many self-storage operators are finding tenant insurance can actually be a good profit center. If you’re interested in finding out more, be sure to check out the ISS free webinar, Risk Management in Self-Storage: Using Tenant Insurance to Minimize Expenses and Maximize Profitability, Dec. 8 at 11 a.m. EST.
Led by Christy Lewis and Chuck Dodge of Bader Co., you’ll learn how to earn profit through tenant insurance and strategies to overcome customer objections. In just an hour—for free—you can learn how tenant insurance works, your role and what it means for your facility and customers. Take a few minutes now to register for this free online seminar by clicking here.
Whether you decide to make it mandatory or you’re simply curious about how tenant insurance works, join us for the webinar and learn more. You’ll also have the opportunity to ask our insurance experts questions. And it’s all free. Hope to see you there!
- The 4 Tenets of Self-Storage Roofing
- 5 Building Blocks to Quickly Increase Self-Storage Rentals
- U-Haul to Convert Former Big Lots Store to Self-Storage in Huber Heights, Ohio
- Storage King Opens New Self-Storage Facility in Queensland, Australia
- Florida-based iStorage Refinances for Future Self-Storage Expansion