Handling a Customer’s Property? Review Your Business Coverage

Map every point where you hold an item

A Bargersville repair shop, cleaner, installer, or service business may receive a customer’s property even when it never sells the item. List what you take in, its typical and highest value, how long it stays, and whether it moves between a shop, vehicle, subcontractor, and job site. Include property temporarily held during pickup or delivery. A standard inventory list of your own stock does not capture these customer-owned items.

Ask about property in your care

General liability and business property policies can treat damage to property in your care, custody, or control differently from damage to a stranger’s property. Specialized coverage may be available depending on the operation and property type. Ask a licensed agent what the policy covers while an item is being worked on, stored, or transported, and how exclusions, deductibles, valuation, and per-item or aggregate limits apply. Do not assume a certificate of insurance settles these questions.

Create a careful intake and handoff record

At intake, note the owner, item description, serial number, visible condition, agreed work, and declared value when appropriate. Photograph condition with the customer’s consent. Give the customer a receipt and document each transfer, including to a subcontractor. Keep contracts and any waiver or limitation language for legal review; paperwork does not itself create insurance coverage. Our subcontractor checklist covers another part of that handoff.

Revisit the limit as work changes

A new service, larger customer item, longer storage period, or different delivery process can change the exposure. Give your agent the updated facts before accepting unfamiliar work and request written confirmation of applicable terms. Our business inventory guide addresses your own stock, while the Small Business Insurance articles offer more operational prompts.

The Jennifer Dammeier Agency serves Bargersville and nearby Johnson County communities. Contact Jennifer Dammeier American Family Insurance with your current policy and the details of your situation to discuss available options.

This article provides general educational information, not individualized insurance, legal, or tax advice. Coverage, availability, limits, exclusions, and claims depend on the policy and insurer. Review your documents with a licensed agent and consult other qualified advisors as needed.