An off-premise clause is a clause in an insurance contract that stipulates that a policyholder will receive coverage for property that is stored in a separate location from the primary insured property. These clauses are often used in property insurance contracts for policyholders who cannot fit all of their items in one location.
Off-premise clauses can be very useful in certain situations. Imagine, for example, a restaurant owner who wants to insure all of the property in his restaurant. He could do so with a standard property insurance policy. However, if he has to keep some expensive equipment stored in a separate location, an off-premise clause could help him get coverage for these items too. A standard property policy would likely only cover the property at the location of the restaurant.
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