Short answer: Riders Mark considers must-haves: wrongful disposition (claims related to auctions), environmental hazard (cleaning up something a tenant left behind) and cyber coverage. On deductibles, a rule of thumb he heard from an insurance specialist: don’t file a claim unless it is at least three times your deductible.
Riders #
- Wrongful disposition. Covers claims and lawsuits arising from auctions. Make sure you are covered whether you followed the process correctly or made a mistake; even a baseless suit can raise rates. Some carriers split this across two riders.
- Environmental hazard. Covers cleanup when a tenant leaves hazardous material in a unit, which can’t simply be thrown away.
- Cyber. Newer to Mark, but facilities have been hacked, and the cost of the rider is small compared with the exposure.
Deductibles #
Mark has long favored the highest deductible an owner can comfortably afford. The “3x rule” from insurance specialist Terry Campbell: claims smaller than about three times the deductible are often better paid yourself, because the premium increases that follow a claim can cost as much over the next few years. That can also help you decide what deductible to carry.
Check whether your deductible applies per claim or per building; many owners are surprised. Review coverage with a licensed insurance professional.
Related answers #
- How can self-storage owners lower their property insurance costs?
- Should self-storage facilities make tenant insurance mandatory?
- Why should self-storage owners auction delinquent units promptly?
Source: Mark’s post Insurance Shock: How Self-Storage Owners Can Fight Back in 2026
