It hardly matters whether you are moving out-of-state or locally, with a moving company or on your own, getting the right insurance is all that matters. Why do you ask? Well, for starters, it will protect your belongings, so there’s one less important thing to worry about.
Even though everything may seem hunk-dory, do not go for just about any insurance you come across in the first place. You need to understand home insurance, as moving a house requires a lot of homework to be done on your part. However, if you are moving for the first time, and you do not know what home move insurance is all about, here is everything you need to know about it:
Understand your Insurance Plan
Renters policies and homeowners insurance already cover your belongings, but only until they are at your home. When in storage or transit, you will not be covered by said insurance plans. But then again, it does not mean you are out for the count, as depending on your contract, you may still have some sort of protection. To know more about what is covered and what is not, talk to your insurance professional to identify your options, which are:
This kind of protection specifically protects high-value items i.e. China, vases, jewelry, fine art, collectibles and so on.
- Storage Insurance
If you will need permanent or temporary storage for a few items, this coverage is a must.
- Car Insurance Verification
If you want your vehicle to be shipped, get an insurance certificate from the auto shipping company. This is mandatory, and they are required by law to provide you one. At the same time, check to see if the coverage offered is same while your vehicle is being shipped. Also, if there are any formalities on your end, get over with them as soon as possible.
- Trip Transit Insurance
This basically covers you from all personal property related perils like disappearance, fire, or theft. It is no different from what is covered by your renters or homeowners policy, the only difference is you get the same coverage for when your belongings are in storage or transit.
Trip transit insurance can cover the entire value of your property, or excess of the amount provided by your moving company. Do keep in mind, though, you will need to be covered for flooding or breakage when your belongings are at the storage facility.
- Special Perils Contents Coverage
If you own a lot of items that are fragile, then you will need this coverage through and through.
Find out what your Movers Cover
The type of coverage offered by your moving company for breakage or damage is not insurance, which is why it does not come under state insurance laws. But by federal law, interstate movers are required to offer two liability options – released protection and full value protection. The same is also offered by movers for intrastate moves.
That being said, it is vital for you to understand the different levels and types of protection you can choose from, which in most cases are:
- Full Value Protection
This protection offers the replacement value for your belongings if they are damaged, lost or destroyed while in the mover’s care. The company will either replace or repair your items but could offer a cash settlement based on current market value or the cost of the repair.
The cost of such a coverage plan can vary, and depending on the deductibles, the price will increase or decrease.
- Released Value Protection
This kind of coverage is offered completely free of cost apart from the moving fee you already paid. Keep in mind that it offers minimal to no protection – no greater than 60 cents per pound on every item.
- Separate Liability Coverage
This coverage serves as an upgrade to your released value protection, for an additional fee obviously. If you do get this extra coverage, you will still get 60 cents per pound on every item, but the remaining loss will be covered, up to the limit, you decided initially, by an insurance company. At the time of the purchase, your mover is required to provide the policy in written so that you know what you signed up for.
What to do if you Move yourself?
If you are moving long distance on your own, for example from New York to Charlotte (North Carolina), you will not get the benefits that come with a moving company, but that does not mean you do not have any options. You can get protection by consulting an insurance provider on your own to review the insurance options available by them, or you can get the optional collision damage waiver if you are renting a moving truck.
By now, you should have a better understanding of how you can get your belongings insured during a move. Even if you do not know everything, at least you know where to start.