Moving Insurance Information:
Most accidents occur when you least expect them or when you’re not covered.
You are busy finalizing your new home purchase, working to complete your job transfer, or simply concluding the final details with your moving company. The process for each of the above tasks probably took you several weeks, maybe even months to complete, and now you’re finally done!
But what about insuring your household goods against the possibility of loss or damage while being moved? Have you asked yourself:
Isn’t the moving company responsible for the goods, anyway? Aren’t they liable, by virtue of providing the service, to guarantee all goods are transferred in perfect condition? Or, if not the movers, wouldn’t your goods be covered under your homeowners’ or renters’ insurance policy? And, in the case that your move is being executed as part of a corporate relocation move, wouldn’t your company be responsible and pay for any potential loss?
Surprisingly enough, the answer to all of these questions is a solid NO!
Your moving company, although the prime vendor handling the move, is responsible for the minimum amount of $0.30 per pound per item in case of a local and intrastate move, or $0.60 per pound per item in case of an interstate or international move and will not pay for loss or damages unless you have purchased additional coverage. Furthermore, the most moving companies does not even offer insurance; rather, they will suggest you purchase “Valuation”, “Coverage”,
“Protection”, or any other title of security which is not an insurance policy.
Your homeowners or renters insurance policy covers your household goods while in your residence, but not while in the movers possession. Even if it did (which is the case with some policies), remember that it is hard to obtain new homeowners’ policies if your claim history is not favorable. You would not want to submit the claim through your homeowner’s policy and risk losing the policy altogether.
In most cases of corporate relocation, your company signed a general agreement with a third party relocation company. Unless directed otherwise by your employer (and being paid for it too), their agreement with the assigned moving company covers the liability at the minimum coverage possible, i.e. $0.30 or $0.60 per pound per item.
Now you are left with a major gap in coverage, leaving your household goods uninsured. . Review your homeowners policy. Find out exactly what is covered
from your moving company. Get it in writing!