5 Most Overlooked Self Storage Risks

Corodata TeamApr. 20, 2023 | Self Storage |
Companies looking to store records offsite might think a self-storage unit is the perfect solution. On the surface, these facilities appear to be a convenient and relatively safe option, but don’t be fooled. Self Storage risks including theft, breaks ins, and fire or flood damage make them a risky place to store confidential information. One storage unit facility in California had over 200 break ins in April alone . After the study was released, it was revealed some facilities did not even have security systems for units. The storage facility believes that’s just the beginning with more victims possibly coming forward. Here are the top five self storage risks businesses need to know before storing their files in storage units.

1.

Identity Theft & Data Breaches

Storage facilities are prime targets for thieves looking for higher ticket items. Businesses storing sensitive records like medical, legal, tax, or insurance files can find themselves in hot water if the files were vulnerable to unauthorized access. One file breached is enough to find the business liable for a data breach and on the hook for penalties starting at $50,000

2.

Environmental Risks

Chances are, you don’t know who is using the storage unit next to you, or what they’re storing. It’s not uncommon for people to store flammable chemicals, create makeshift living spaces, or even set up labs for illegal activity. Some units might be built in flood zones or not up to current fire code inspections. In the event something happens in the units surrounding yours, there is a good chance your unit is in danger of damage along with the contents inside.

3.

Lack of Organization

Most storage units are large, empty spaces with no preinstalled shelves or cabinets. Your first few file boxes might stack well, but as you begin adding and accessing your files, it becomes increasingly difficult to stay organized. Retrieving files becomes a whole new challenge without a solid chain of custody for each file and box in storage. Even if your boxes are clearly labeled, the chances of a file ending up in the wrong box, or not in a box at all, is very likely.

4.

(Hidden) Costs

The most obvious cost with storage units is the cost you pay to rent the entire space, even if you’re only using a portion of it. The hidden costs associated with the liability of employees retrieving and accessing files within the unit. If an employee gets injured while on their way to the storage unit or moving heavy file boxes, the company opens themselves up to expensive insurance claims. When factoring these hidden costs, storage units start becoming quite expensive.

5.

Convenience

From delivery, storage, and organization, businesses who store files in self storage are doing it all themselves, taking their valuable time away from other high priority tasks. Even if another employee is primarily responsible for the files in the unit, chances are all those trips organizing and filling the unit with files is taking away from their other responsibilities. If files reach their retention and are ready for destruction, businesses will either take them to a third party to destroy, or call a provider to meet them at the unit to destroy onsite, easily taking up hours at time.

Protect your records now.

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