On The Move’s Tenant Protection Program allows you complete control of the profits which adds value to your self-storage facility. Value for your facility is all dependent on the Cap Rate for your area.
A typical storage facility of 500 units, with an occupancy rate of 90% and a participation level of 75% will generate revenue from 338 units. The majority of tenants opt for a $2,000 Protection Plan. Based on this valuation, the average cost per participating unit is $1.17 per plan per month. With 338 units participating at an average charge to the tenant of $10.00, the facility reflected by this example would generate a monthly gross profit of $3,380 or $40,560 annually. Amount you Charge – Cost of Participation = $Profit $Profit x #of Tenant Protection Plans = Potential Profits
Offering a tenant protection program to your customers helps limit your liability. Per a court ruling, “Kane vs. U-Haul, Intl., Inc.” a tenant that declined insurance could not hold the facility liable for the damage sustained by the tenant’s goods stored in the facility, where the contract had a clause relieving them from responsibility. If the tenant turned down a lease with the facility offering to take limited responsibility for the goods, it would make it clear the tenant understood and agreed to the “sole responsibility” clause in most self-storage leases.
No. You are not selling insurance; you are offering an upgraded lease addendum. You do not charge premiums; you charge additional rent for the better quality lease.
Our team has been guided by legal counsel and has crafted an addendum to your lease. By having your customer sign this addendum, you can add them to your protection plan.
We have created industry-leading marketing materialsthat will quickly and easily allow your staff to up-sell new and existing tenants to SecureLease®. The facility controls the pricing giving you complete flexibility to be competitive within your own market. The convenience afforded to your customer is also a selling point. The added cost of SecureLease® is built into their rent so they receive only one bill each month. SecureLease® can also be offered to your tenants at no charge as a move-in incentive. Marketing and training material will be provided for you to train your personal how to up-sell to SecureLease® maximizing rental profits.
The program can be rolled out immediately. Underwriting and acceptance of the proposal allows you to start selling to your tenants. If switching from a different program, allow 30 days, or your states’ minimum notification period, to send out a switch notification. SecureLease® and the limited responsibility accepted by the facility is part of the lease and runs concurrent with it. The only exception would be if either party elected to give 30days’ notice and terminate the addendum.
There is no integration required or needed with SecureLease®. Within any software, you have the ability to set up a reoccurring fee, much the way your actual units are set to reoccur on a monthly basis. Our billing process is on a monthly, quarterly, or annual basis. Based on your billing preference, you will submit a report that shows what you have sold and be billed accordingly.
While our traditional SecureLease program does not allow you to accept limited responsibility for the tenants’ goods stored outside, our SecureOutdoor program does. SecureOutdoor is a deductible reimbursement program that functions similarly to SecureLease and works well for outdoor vehicle, trailer, RV, and boat customers.
Almost any personal and business property a customer stores is eligible for the program. The following goods are not protected risks and are automatically excluded or limited: • Money, coins, bullion, deeds, bonds, stocks, securities • Jewelry, watches, precious stones, stamps of all kinds, furs, garments trimmed with fur, fine arts, perfumery, exceeding $500 combined total • Explosives and flammables • Tobacco, cigars, cigarettes, beers, wines, spirits exceeding $15,000 combined total • Livestock All this is clearly stated in the lease addendum on the tenant’s “Limitation and Exclusions to Liability” page.
Yes, just for their goods stored. We do not offer protection for the day-to-day operation of any workshop. However, we are one of the few programs in the marketplace that allows participation from commercial tenants. 20% of most self-storage facility customers are commercial, thus, SecureLease® can immediately allow you to take limited responsibility for the 20% of your customers who have limited access to adequate protection for their goods.
Simply go to our claims portal to file a claim: https://www.wkwebster.com/securelease/
A sample letter will be provided with your training information to assist you in implementing this transition. SecureLease® is easy to sell since it is not insurance. It is perfectly acceptable and encouraged to offer incentives for your staff to work on getting existing tenants to participate and sign your new addendum. SecureLease® greatly reduces the need for your tenant to purchase costly insurance policies for their goods. Your existing tenants will also see the SecureLease® marketing material (posters and rack cards) on their next visit and make inquiries. You may also opt to “auto enroll” existing tenants, allowing them the option to opt out of protection rather than making it necessary for them to opt in.
No, since the tenant is not directly insured, they only need to know what the facility is accepting responsibility for and be provided with the “SecureLease® Addendum. The facility is insured for the newfound contractual risk assumed in the SecureLease® addendum by a Contractual Liability Insurance Policy or “CLIP.”
Homeowner policies may not provide adequate coverage, cover commercial goods, and often have high deductibles. SecureLease® has “no insurance deductible” for you or your tenant. Have your tenant consult their insurance agent or company for coverage clarification. By accepting limited responsibility for your tenant’s goods, SecureLease® provides peace of mind for your tenants knowing the facility is standing behind the presumed safe self-storage of their goods. In addition, if your lease requires your tenant to have insurance often satisfied by a homeowner’s policy, by accepting limited responsibility you have satisfied that lease requirement.
SecureLease® protects you and your tenants for losses to property kept in a self-storage unit either stationary or a portable unit due to burglary, lightning, windstorm, hail, fire, smoke, building collapse, explosion, vandalism, riot, and water damage (some exclusions apply).
No. Our insurers do not protect against flood damage. With exception of the U.S. Government and the National Flood Insurance Program, we know of no other programs that covers loss or damage caused by, resulting from, contributed to or aggravated by flood, surface water, waves, tidal water or tidal wave, overflow of streams or other bodies of water, or spray from any of the foregoing, all whether driven by wind or not.
Moisture damage is protected if caused by a leak in the roof or an accidental discharge of a sprinkler system. The program will protect the tenant for up to $500 in rodent and pest infestation damage, regardless of the limit on the stated value of goods.
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