If you’ve been involved in the self storage industry for any length of time, you’re aware that tenant protection plans didn’t gain popularity until the early 2000s. Prior to that time, insurance was the sole option for tenants seeking extra protection for their stored belongings.
A tenant protection plan is not insurance. It’s a contract between the tenant and the owner that provides reimbursement for certain losses that are not covered by insurance. Storage Shield tenant protections plans give both tenants and owners the confidence of knowing that their belongings are covered in case of an unforeseen event.
These plans may still feel somewhat “new,” but they’ve been around long enough to prove their reliability as a viable alternative to traditional insurance.
The Rise of Tenant Protection Plans
The self storage industry is changing fast, and owners/operators are always looking for new ways to boost revenue and stay competitive. What started as an optional amenity is now becoming a self storage industry standard.
What is a Tenant Protection Plan?
A tenant protection plan for self storage is an agreement between the facility and the tenant that provides coverage for stored belongings. For a small monthly fee, tenants are protected from unforeseen events such as:
- Water damage or roof leaks
- Fire or smoke damage
- Burglary or vandalism
- Explosion
- Wind damage
- Lightning
Unlike traditional renter’s insurance, protection plans are managed directly by the storage facility, making it more efficient for both tenants and operators.
Why Tenants Want Protection Plans on Self Storage
When customers lease a storage unit, they’re storing household items, keepsakes, business supplies, and more. They want the confidence of knowing their belongings are protected
With a self storage tenant protection plan, tenants get:
- Peace of mind – Their belongings are covered without needing a separate policy.
- Convenience – There is no complicated insurance paperwork.
- Support from the facility – Claims are handled in-house, making the process smoother. Tenants receive reimbursement within weeks, and there are no deductibles.
Why Owners Are Making Them the Standard
For storage operators, tenant protection plans are more than just customer service, they’re smart business
- Recurring revenue stream – Monthly protection fees can add up to significant revenue.
- Stronger customer relationships – Tenants see the facility as proactive and trustworthy.
- Lower liability risks – Claims are resolved through the self storage facility, avoiding disputes.
- Competitive advantage – In many markets, protection plans are now expected. Facilities that don’t offer them risk losing tenants to competitors.
The Industry Shift Toward Protection Plans
Why the shift? Because the numbers make sense. Protection plans improve financial performance, reduce risk, and build tenant trust and loyalty. It’s a win-win.
Common Myths About Tenant Protection Plans on Self Storage
- “Tenants won’t pay extra.” Most tenants will gladly pay for peace of mind.
- “It’s complicated to manage.” Storage Shield offers simple systems for onboarding and claims.
- “Insurance is enough.” Not every tenant has insurance, and even when they do, deductibles are high and claims are complicated. Protection plans fill that gap.
Conclusion: The Future of Self Storage is Protection
Tenant protection plans are no longer a trend, they’re a self storage standard. Owners who offer them see higher revenue, happier tenants, and fewer operational headaches. Tenants get peace of mind and almost effortless coverage.
In today’s competitive storage market, standing out matters. If you’re not offering tenant protection plans, it’s time to make the switch. Your tenants will feel safer, and your facility will be stronger.
