by Holly Robinson
March 11, 2011 10:45 PM
Politicians love to promise one thing to their constituents more than anything else—change. They do not always specify whether that change will be good or bad, but they do promise that it will happen. One change that has been proposed by lawmakers in Georgia will mean a little more work for self storage facility operators, but could also mean an increase in profits.
One of the things that people hate to spend money on, but always will is insurance. Whether it is health, dental, auto, rental, vacation, or any of a number of possibilities we never like to spend the cash on the possibility of something bad happening. However, at the same time we do not want to be unprepared for it if it actually does.
Self Storage facilities always come with a certain level of security. Business owners do what they can to keep them in good working order as well. Regretfully, there are a number of things that can happen that are out of the control of self storage owners and operators that could cause damage (or theft) of the goods that tenants place in their storage units.
That is where the tenant insurance can come in handy; to protect your belongings, replace them if necessary, or just for piece of mind if nothing else. With a proposed change to limited license regulations self storage operators in the state of Georgia may soon be able to offer it to their tenants at the point of sale.
The bill is similar to Senate Bill 7118 that was passed by the New York legislature and signed into law last August. If passed in Georgia it will allow self storage operators to obtain a specialty license that will make it legal for them to sell tenants that are interested in coverage insurance for their personal property inside their storage units.
On March 10 the House Committee recommended approval of House Bill 463. The bill stands to give self storage operators the chance to obtain a limited license and act as an insurance agent that is paid commission by an insurance company. Self storage owners/operators will be required to provide their employees with the appropriate training. The law will also define just what is meant by point of rent insurance and will repeal any laws which happen to conflict with the purpose of this one.
The bill is being sponsored by the National Self Storage Association.
Sources Used:
“Legislations Introduced in Georgia to Address Self Storage Insurance Licensing.” Inside Self Storage; 11 March 2011.
“Guidelines for Choosing a Self Storage Tenant Insurance Partner.” Inside Self Storage; 28 October 2010.