How does moving insurance work

Free basic coverage is not enough for most people. Consider upgrading to full valuation protection or opting for third-party insurance for items of high value. Keep in mind that moving coverage and moving insurance are technically two different things. Moving companies offer moving coverage, and moving insurance is available through third-party insurance companies. Examples include:.

Your homeowners insurance, renters insurance or condo insurance might cover part of your move. Some insurance companies cover a move in the following ways:. One problem with covering a move using an existing insurance plan is that your future premiums might increase if you make a claim. The cost of moving insurance varies based on the type of coverage you purchase and the details of the coverage.

Released value protection, or basic coverage, is almost always free. You just have to make sure you agree to it in your contract. Here is how to calculate full-valuation protection costs:. By federal law, basic moving coverage comes with every interstate move.

If you want to upgrade to more comprehensive coverage, ask a moving company for details on its policy before you sign a contract. If you can afford to pay for expanded moving coverage, we recommend it. Paying a small premium to insure all aspects of your move is well worth it. For those with high-value items that need additional coverage, purchasing insurance from a third party is a good idea. Most reputable moving companies will offer these coverage options for local and intrastate moves, too.

Released value protection is the most basic coverage option that moving companies offer. Released value protection comes at no extra cost to you, but provides only minimal coverage. The moving company typically assumes liability at only 60 cents per pound per article. Your other option for protecting your belongings is full value protection. This coverage is far more comprehensive than released value, but you must pay a premium upfront.

In addition, many full value protection policies have deductibles. With some limitations, selecting full value protections means your moving company is liable for the full replacement value of the goods they are transporting.

You, as the consumer, will declare what you think your goods are worth, per pound, and then pay a premium for that amount of coverage. Most moving companies have their own full value protection policy, and most will have some sort of minimum value you have to claim on your goods. When you file a claim under full value protection, your moving company has three options for fulfilling a claim:.

For example, if your pound sofa is damaged beyond repair during a move, the claims department of the moving company will replace it with the same or similar couch or payout according to the current market value of the item.

Car Shipper Reviews. Shipping a Car. Storage Company Reviews. Junk Removal Recommendations. Junk Removal Reviews. Do I Need Moving Insurance? By Asha Kennedy. Published on September 08, Share Article. What is moving insurance?

What is valuation? How do I know if my moving company offers valuation? What is third-party insurance? How much does moving insurance cost? Moving insurance FAQ. Sign up for our moving guide! Moving Destination City, State. Moving Destination Zip Code. Types of moving insurance and valuation. Released value protection. Full-value protection FVP. Watch for caveats. So do I need moving insurance? How can I figure out the value of my household goods? Taking photos is helpful for damage claims. The takeaway.

Are moving companies always responsible for damages? Does homeowners or renters insurance cover moving? Is transit valuation or protection the same as insurance? What protection is usually offered by moving companies?

Can you get moving insurance for a DIY move? Just remember, these options may not cover: Damage caused by insufficient packing Shifting of belongings in the truck during transit Theft or vandalism Did we answer all your moving insurance questions? It's important to understand the various types and levels of protection available and the charges for each option, so always ask your moving company to provide the specific policy terms in writing.

If you choose to move yourself, you won't have the benefits of a moving company's coverage if your belongings are damaged or broken.