April 23, 2015
Moving And Insurance: What You Need To Know
Liability. Insurance. Covered or not covered. And by whom? When it comes to moving your possessions there are a few things you need to understand about how all this liability and insurance stuff works. We’ve taken a stab at breaking down the topics to simplify what can be rather complex. Take a few minutes to read our attempt at tackling this issue and let us know how we did in the comments below.
Liability
Moving companies are required to assume liability for the value of the goods they are transporting in the event of loss or damage. Typically two different levels of liability protection are offered by movers: Full-Value Protection and Released Value Protection. These two levels of liability are not insurance agreements, but instead are contractual tariff levels of liability authorized under Released Rates Orders of the Surface Transportation Board of the U.S. Department of Transportation.
Full-Value Protection is the most comprehensive and is based on the value of your shipment. Movers do reserve the option to limit their coverage when it comes to high value items such as jewelry, furs, antiques or artwork. Be sure to ask for a detailed explanation of coverage and take the time to understand it as coverage can vary by moving company.
Released Value Protection is the most economical option at no-cost but it provides a minimal level of protection. Under this option, the mover assumes liability for no more than 60 cents per pound of value per article. Claims are settled based on the weight of the article multiplied by 60 cents per pound. It may be the default option on a moving agreement so be sure to read it thoroughly and know what you are signing.
Insurance
As far as the moving process itself goes, your current renters or homeowners insurance does cover personal property but it’s not likely to cover damage or loss during a move. Be sure to check with your insurance agent about the details within your coverage. If you decide you want additional coverage beyond the full-value protection some movers offer extended or additional coverage. Movers are not required to offer specialty coverage so be sure to ask when you are making your inquiries.
Our best advice is to 1) take the time to understand coverage and ask lots of questions. 2) Hire a reputable mover with an excellent service and performance history like Good Stuff Movers…of course!