Insurance Available Through Your Mover
Determine the maximum liability dollar value of the insurance provided by the
mover and the process involved in case you need to place a claim. However, this
does not guarantee that in case of a claim you are entitled to the maximum
liability damage coverage. Factors such as government regulations, taxes, and
laws limit the actual the amount you may be entitled to in case of a claim.
Realize that the insurance provided by most moving companies only covers a
portion of the total value of your possessions and you will have to get
additional insurance to be fully covered.
Insurance available through your mover is based on valuation. Basically,
valuation is the method of determining liability - by you and your mover. There
are three types of valuation:
Declared value: The value of the things you move is based on
the total weight of the shipment multiplied by a specific amount per pound
(example; $1.25 per pound). For instance, if your possessions weigh 10,000
pounds, the mover would be liable for up to $12,500. Claim settlement is then
based on the depreciated value of the item(s) damaged.
Lump sum value: If you need insurance that is based more on
value than on weight you can get insurance for a specific amount (the amount is
variable dependant on the insurance provider) per $1,000 of value. You must
know the value of what you are shipping and make a declaration in writing on
the bill of lading.
Full value protection: This type of coverage includes lost,
damaged, and destroyed property. The coverage will pay for the repair or
replacement of the item(s). Usually there is a minimum coverage amount and
Calculate the amount of insurance you require
Calculating the amount of insurance you require begins with taking into
consideration the total weight of what you are moving, the number of rooms you
are moving, and the contents of your move.
Create an inventory of all the items you are moving
What you are moving (sofa, dining room set, refrigerator, etc.).
The weight of each item you are moving (estimate the weight).
The replacement value of each article you are moving.
Make sure to have totals that summarize your inventory
Total number of items you are moving.
Total weight of the items.
Establish the total replacement value of all your property.
(Take pictures of what you are moving. This is important in establishing the
condition of your possessions and it helps in confirming the inventory list.)
Homeowners Insurance as a Supplement
Most homeowner insurance policies cover about 10 percent of the value of your
personal property; including coverage for breakage and theft in transit, minus
the usual deductible. This can be a good supplement to the insurance provided
by the mover.
Transit Insurance as a Supplement
Some Additional Helpful Tips
Transit insurance is another good supplement to the insurance provided by your
mover. Read the policy and make sure it covers the gaps in insurance left by
other policies. This coverage can save you thousands of dollars and is usually
available through the mover, a move-it-your-self company, or through your
homeowner's insurance company.
If you are moving fine art, valuable musical instruments or antiques, you
should consider special measures to ensure their safety and protect against
their loss or damage. If these items are not covered while in transit by your
home policy, you would be advised to purchase additional coverage. Speak to
your mover or homeowner insurance representative.
In the event that something should happen to your belongings and you have to
file a moving claim, you must do so within (9) months of the event. You should
also note the problem on the moving van driver's copy of the bill of lading
before signing it. Your mover will then have 30 days to acknowledge receipt of
your claim. Within 120 days of receiving your claim, the mover must either deny
the claim or make an offer to pay.