Insurance for Moving
Insurance/Valuation, Coverage & Claims...
might be the most problematic and misunderstood part of
any moving estimate or contract. You can buy three levels
of moving insurance / valuation coverage:
is the minimum coverage required by law, and is included
in the base price of your move. You will receive 30 cents
per pound (60¢ per pound if moving long distance) for any
lost or damaged item. While this coverage is better than nothing,
limited liability insurance places your more valuable objects
at a greater risk. For example, if your mover were to drop
an antique crystal glass that weighs half a pound, all limited
liability insurance would pay is 15 or 30 cents. If the moving
truck disappears into the mist and is never seen again, the
most the insurance company would ever pay is the legal maximum,
$2,500. Because of these possible situations, Mover MAX suggests
you buy extra insurance for your upcoming move.
Lump Sum Value...
coverage requires that you declare how much each of your
items is worth. Based on this valuation, you pay a premium
that is generally less than 1% of the value covered. For example,
if the value of your shipment is more than $1.25 per pound,
you pay $7 per $1,000. Therefore, the premium for a 4,000
pound shipment valued at $5,000 would be $35.
Full Value Protection...
is the Rolls-Royce of insurance coverage. This policy guarantees
that the insurance company will replace any article that is
lost or damaged beyond repair with either a like item or a
cash settlement. Any cash settlements made will be in the
amount of the current market replacement value. The exact
cost for full value protection varies from mover to mover.
Important Notes on Moving Insurance
- Check your homeowner's insurance. Some policies cover
property in transit.
- Consider purchasing short-term insurance that covers
the move if your property is very valuable.
- Unlike most property insurance, valuation does not automatically
pay for any damage. It must be clearly shown that the mover
was responsible for the damage.
- Items in boxes not packed by the mover are not covered,
unless the outside of the carton provides clear evidence
that the entire box was damaged during the move.
- The mover is responsible for any electronic item that
does not function after the move only if there is clear
evidence that the item was dropped or mishandled during
- The customer has nine months after the move to file an
initial claim against the mover.
- The mover is legally obligated to acknowledge any claim
within 30 days and to resolve it or offer a settlement within
- The customer is legally responsible to pay for the move,
even when claiming extensive damages. The customer must
go through the claims process to receive compensation for
- If a settlement cannot be reached, the customer either
can sue the mover or seek arbitration.
- Check with your Better Business Bureau; often it will
be able to provide you with a company's track record in
A More Complete Listing of Things to Do Before A Move
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