The reality show Storage Wars has in some instances been the cause of increased on-site participation at self-storage lien sale auctions. The potential of larger, inexperienced and less-knowledgeable crowds entering your insureds’ premises comes with a heightened level of risk.
There are some important guidelines that your self-storage clients should follow in regard to lien sales.
• Follow State Statutes – Each state has different laws regarding lien sales, and it is critical to follow the applicable state’s laws to the letter.
• Inspect and Maintain the Premises – Inspect the facility for slip-and-fall hazards, uneven pavement, loose steps, potholes, and other hazards and make timely repairs. Schedule and perform regular maintenance tasks like snow and ice removal.
• Implement Crowd Control – Be aware of occupancy restrictions and plan ahead to control attendees’ access to the facility. Use signage and cones to direct members of the public to the area where the auction will take place, make sure the parking area for potential bidders is clearly marked, and remove attractive nuisances such as golf carts.
• Prepare an Auction Disclaimer – Consult an attorney to prepare an auction disclaimer which clearly states that participants bid at their own risk, all sales are final, and the self-storage facility will be held harmless and indemnified from any claims or financial risks resulting from their participation in the sale. In addition, hire a licensed professional auctioneer who can provide proof of liability insurance.
• Review Insurance Coverage – Review the limits of the facility’s sale and disposal liability coverage as well as your property and liability coverages.
For more information about self-storage lien sales, contact MiniCo’s Customer Care Department at 800-447-8383 or email@example.com.