Moving Insurance

Whether you hire a mover or move it yourself, it is impossible to guarantee that all of your property will arrive at its final destination in the same condition it started out. Damage to your property can occur in transit (on the moving truck), in storage, and when it is being carried in or out of the moving truck. Things can be accidentally dropped, dented, or broken by moving men. Most insurance coverage that can be obtained through a mover limits the mover's liability and will not completely cover the value of your property if lost or damaged. It is extremely important to make sure that your possessions are adequately insured before you move.

When you move with a Professional Mover, Basic Liability Protection comes with the move, and it's free. But, it limits the mover’s liability to .60 cents per pound per item moved. For example, a TV that weighs 100 pounds will be covered for $60.00 of damage, and a 300-pound sofa will be covered for $180.00 of damage. In most cases this limited coverage is inadequate.

You can upgrade your protection coverage if this is not enough. On interstate moves, the mover will offer Full Replacement Coverage, also known as Extra Care Protection (ECP). Everything will be covered up to the replacement value of the item. If the mover packs things into boxes, they will be covered with the same coverage. If you packed the boxes yourself, then this coverage will only be valid if the box shows external damage (dented, crushed, etc). If this is the case, keep the items in the original box until the claim is handled.

This Full Replacement Coverage comes with three options: zero deductible, $250.00 deductible or a $500.00 deductible. Obviously, zero deductible costs more than the $250 or $500 deductible options. With a $250 deductible.

The replacement coverage would not pay for the first $250 of damage, but everything after that would be covered. With most movers there is a minimum amount of coverage you can take. That minimum is usually $5.00 for every pound of furniture & boxes that you are shipping. (If you have 2000 pounds, you will need at least $10,000 coverage). On local moves you can often choose an Actual Cash Value option. This protection option covers you on a depreciated value and is generally less costly than the Extra Care Protection. Be advised that electronics (stereos, TV's, computers, etc) depreciate very fast and will not have adequate coverage. Movers are not insurance companies and therefore cannot sell insurance. The Replacement Coverage or Actual Cash Value Coverage is protection against loss or damage to your household goods while the mover has them in his possession. It's the limit of the mover's liability for loss or damage to your stuff. If you get the Full Replacement Coverage, the mover will deliver everything in the same condition as he loaded them, or else he will fix or replace it. All moves have a minimum of 60 cents per pound per item offered for free. The other two options cost extra.

It is always a good idea to contact your homeowner's or renters insurance agent for guidance. Find out if you already have some coverage while moving. Before the movers can begin work, you will need to know which liability option you desire. You will be required to sign for that specific coverage before work starts.