INSURANCE


This is also known as cargo (or transit) protection. To begin, make a household inventory and then go over your homeowner’s policy and its provisions for relocation. A good idea of documenting your goods is to videotape them. Moving companies offer several kinds of coverage. What they are selling is not insurance. They are not an insurance company. They are selling a coverage and accepting some degree of liability in return for a paid premium. You are being offered an option for compensation if any of your goods are lost or damaged while in transit with the moving company. Remember, though, that some companies will offer no compensation at all if they didn’t do the packing.

Basic, or Standard Protection

Many companies are required to accept some responsibility when in transit. The protection is usually a small amount per pound and it varies. This should not cost you extra.

Added Value Protection

This is when a company charges a premium and increases the per-pound coverage amount.

Market-Value or Depreciated Value Coverage

This may cost less than “Full Replacement Value” coverage, but determining the market value of something can be difficult. It is based on what the item would sell for now, considering its age, condition, and amount of usage.

Full Replacement Value

This allows you to receive reimbursement equal to the same item, brand new. There may be a deductible and this amount will be deducted before you are paid.

Many of these policies do not include damage while in transit due to shifting in the truck or breakage by you or the movers. Breakage or damage coverage may be acquired temporarily from the mover or permanently as a “floater” policy on your homeowner’s or renter’s insurance. If you require third-party insurance, this is not carrier protection. Make sure this company provides “All risk” insurance protection, comprehensive replacement costs, and coverage for “Acts of God”: Hurricanes, tornadoes, earthquakes, floods, and high winds. You should also be covered for “Civil Commotion”, which includes strikes or riots, and you should be protected while your goods are in approved storage. Make sure you receive a ‘Certificate of Insurance’. This is important. Always check with the named insurer to validate and confirm the terms, and be repetitive if necessary, especially if the situation changes or appears confusing. Also check the finances of the insurance company.

It is important that you put a valuation on your own goods. Conduct an insurance executive search. Leaving it up to the moving company may result in some discrepancies. Some questions you should ask are: What is the total coverage I get? What is the limit per item? How much is the deductible? Is it ‘Market Value’ or ‘Replacement Value’? How do and with whom do they handle furniture repairs-this will give you some idea of the quality of the work if damage should occur.

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