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ACORD Form GuideACORD 37

ACORD 37 — Property of Others Schedule

The ACORD 37 Property of Others Schedule lists customer or third-party property regularly held in an insured's care, custody, or control. Repair shops, storage facilities, dry cleaners, printers, jewelers, and other service businesses need accurate values and descriptions because customer property is not the same exposure as property the business owns.

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When is ACORD 37 used?

The ACORD 37 is needed for businesses that regularly hold property belonging to others: • Repair shops (auto repair, electronics, appliance repair) • Storage facilities and warehouses • Dry cleaners and laundries • Printers and finishers who hold client materials • Jewelers with customer jewelry for repair or appraisal • Furriers and tailors • Any business that accepts customer goods for service or storage

How to complete ACORD 37

Describe each category of customer property, where it is held, and the maximum value present at one time. Ask how goods arrive, how long they remain in the insured's possession, what security and fire protection are used, and whether any single item exceeds the blanket limit. Reconcile the schedule with the operations description and request recent property-of-others losses.

Why "property of others" is a separate coverage issue

Standard commercial property insurance covers property the insured owns. Property belonging to customers or third parties is typically excluded from the insured's property policy.

The insured's legal liability for customer property is covered under general liability — but only if the insured is legally negligent. If a customer's property is destroyed by fire through no fault of the insured, the GL policy may not respond.

Specialty coverage for property of others fills this gap, providing direct coverage for customer property in the insured's care regardless of negligence.

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Bailee coverage and when it applies

A "bailee" is a party who has temporary possession of another's property. Most businesses that hold customer goods are bailees. Bailee coverage provides first-party coverage for damage to or loss of customer property while it is in the insured's care.

The ACORD 37 is often used in connection with a bailee's customers floater — an inland marine coverage that protects the insured against claims from customers whose property is lost, damaged, or destroyed.

This is different from garagekeepers liability (which covers auto repair operations) or warehouseman's liability (which covers commercial storage operations).

Completing the ACORD 37 — what information is needed

The ACORD 37 requires a schedule of the types of property the insured regularly holds, including:

• Description of the property type (e.g., customer clothing, customer vehicles, customer electronic equipment) • Maximum value at any one time (this drives the coverage limit) • Where the property is typically stored or held • Security and storage conditions • Prior losses involving customer property

Common ACORD 37 mistakes

Underestimating the maximum value of customer property at any one time

Not identifying businesses that hold customer property when completing the ACORD 125 operations description

Assuming the GL policy covers customer property loss regardless of negligence

Not scheduling high-value individual items that exceed blanket bailee limits

Missing the garagekeepers coverage for auto-related businesses where ACORD 37 may not be the right form

Companion ACORD forms

ACORD 125
Commercial Insurance Application
ACORD 61
Inland Marine Application
ACORD 140
Commercial Property Section

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Related

Inland marine insurance guideACORD 61 — inland marine application guideInsurance for dry cleanersCommercial insurance glossary