Are you moving and need insurance? A mover's insurance policy may be beneficial depending on the value of your belongings and the distance you are traveling. If you plan on hiring movers, it's recommended that the movers you hire be insured in case of any accidents or damage.
What is Moving Insurance?
If you don't have moving insurance and your belongings are lost or destroyed while relocating, you will have to pay to replace all of it yourself. Moving puts your possessions in danger of theft and destruction, so having moving insurance will help you get paid for any mishaps that happen throughout the process.
Types of Moving Insurance
When you employ movers, they are responsible for all of your worldly possessions. Federal law says that if you are moving to a different state, the moving company must give you two different forms of insurance coverage. The type you choose will decide how much you'll be reimbursed if any of your possessions are stolen or destroyed.
If you have complete value protection, your mover will cover the entire replacement cost of any lost or damaged items in your shipment.
Your mover may choose to fix the item, replace it, or provide a cash payment for the cost of the repair or the item's current replacement value if some of your belongings are damaged, lost, or destroyed during the move. This kind of coverage is typically more expensive but more thorough.
Depending on the mover, full value protection coverage can cost differently. Thus, the cost may vary depending on the deductible you choose.
Released Value Protection
Although it is offered at no additional expense, this policy offers only bare-bones security. Up to 60 cents per pound will be paid for an item if you have released value protection.
Separate Liability Coverage
Some movers will provide independent liability coverage through a different insurance provider for an additional fee. This other insurance policy will cover the rest of the loss up to the limits of the policy, but your mover is still in charge of the released value protection.
Make sure you get the coverage specifics in writing and know what is covered and what isn't if you purchase additional moving insurance from the movers or another source.