Short answer
Business property in storage insurance often comes from your business owners policy, which may include coverage for property temporarily away from your premises. The catch is the limit, which is often much lower than your main property limit. Check the off-premises limit, list what you are moving, and ask your agent whether to raise the limit or buy separate moving coverage. Whether a policy responds depends on its wording and the facts.
What off-premises coverage is
Off-premises coverage applies to business personal property that is temporarily away from your location. That can include furniture, computers, files and equipment placed in storage during a move.
The word “temporarily” matters. A few weeks in storage during an office move fits that idea better than long-term storage. Read the policy wording to see how it describes property away from the premises. Our general and property liability page covers how a business owners policy works.
Business property in storage insurance: the limit is the question
The limit is usually the real issue. Off-premises coverage often carries a sublimit, which is a smaller cap than your main business personal property limit. A firm with a large main limit may still have a much lower amount for property away from the office.
Compare that sublimit with the total value of what you are storing. Computers, monitors, plotters and furniture can add up quickly. If the sublimit looks low, ask your agent about raising it for the move.
Transit may also be treated separately. Property in a truck between locations may fall under different wording than property sitting in a storage unit. Our inland marine page for interior designers explains one way firms cover property that travels.
The moving company’s coverage
Movers usually offer some form of protection, but it may be limited. Many movers base their coverage on weight or on a set amount per item, which may not match what your equipment is worth. A laptop or a large-format printer can be worth far more than its weight suggests.
Ask the mover for the terms in writing. Compare them with your off-premises and transit limits. The mover’s coverage may fill a gap in your own policy, or it may overlap with coverage you already have. Your agent can help you decide.
Update your address
Tell your agent about the new location before the move. Your location is part of how the policy is written, so property and liability coverage should follow you to the new office. Waiting until after the move may leave questions about which address applies. Ask your agent when the new address should go on the policy so there is no gap.
What we see at Hardcover
A small New York design firm moving offices needed to store its contents for a couple of weeks. The firm asked whether its policies covered items in storage or whether it should buy something separately. We asked the carrier, which confirmed that the off-premises coverage applies to property temporarily away from the insured’s location, subject to the policy limit.
That answer is typical of what many firms learn. Coverage may exist, but the limit decides how far it goes. A quick check before the move usually shows whether the limit fits what you are storing.
Questions to ask your agent
- What is my off-premises limit?
- Is transit covered?
- When should the new address go on the policy?
Related questions
Does my BOP cover items in a storage unit?
Often, for property temporarily away, up to an off-premises limit. Check your policy.
Should I buy the mover’s insurance?
Compare it with your off-premises and transit limits. It may fill a gap.
Do I need to tell my insurer I moved?
Yes. Your location is part of how the policy is written.
General education, not legal advice. Hardcover is an insurance agency, not a law firm.