How to Choose the Best Moving Insurance

Licensed movers are required to provide moving insurance according to the value of the goods transported, but it is your responsibility to know the degree of protection awarded and the possible added charges which you could incur.

There are mainly three coverage options which you can select:

Basic carrier liability

This is restricted to 60 cents per pound per article transported. This is referred to as the “released value” (this is the lowest amount of liability which should be provided by the law when goods are transported out of the state).

Declared Value Protection

This is an added minimum amount of $1.25 times the weight of your goods (calculated on the basis of the depreciated value of the goods). The whole delivery is protected at a value which is lesser than the value you have declared in dollar amount. Under this coverage, the mover is responsible for the whole shipment at a price which is equivalent to $1.25 per pound times the total weight of the shipment.

It is important to keep in mind that movers are required only to restrict their liability for any loss or damage which occurs to goods which are of extraordinary value, hence it is your responsibility to understand the terms of this coverage.

Full Replacement Value

This is priced at a minimum fee of $3.50 or $4.00 times the total shipment weight (certain companies issue minimum full replacement value coverage, so it is up to you to decide if this is sufficient).

Under this coverage, the cost incurred to replace or repair the damaged item would be provided to you. The mover has the capacity to sell you or obtain the liability insurance according to the amount requested by you, if the shipment is released at a value of 60 cents per pound per article.

Extra coverage

Extra insurance can be obtained via the moving agency from an independent insurance provider, this will insure the goods during the process of moving. The moving agency chosen by you will guide you to an organization that will bind your move. Read more.