Indiana Governor Mike Pence signed a bill into law on April 24 giving self-storage operators the ability to collect payment for over-the-counter tenant insurance. Senate Bill 432 provides for the “sale, solicitation or negotiation” of tenant insurance by self-storage facility operators under a limited lines producer's license.
In addition, storage operators can receive a small compensation for insurance sales. The fees can be rolled into a tenant’s rental payment. The insurance provision allows self-storage professionals to offer ancillary insurance plans without a general insurance producer license.
Limited lines laws have already passed in Arkansas and Virginia, and House Bill 980 was recently approved and is expected to be signed into law in Tennessee in a matter of days, according to the national Self Storage Association, which works with state associations to pursue improvements to laws that govern the industry.