Moving? Make Sure Your Possessions Are Covered

There’s lots to think about when moving, but don’t overlook insurance. Here’s how to make sure your property is covered…

Moving yourself. If you prefer moving your own stuff, consider trip transit insurance, which can be written for the full value of your property. It also covers theft and fire but not breakage or flooding—you’ll need to add “special perils” coverage for that. Talk to your homeowners or renter’s insurer or your insurance broker.

Renting a moving truck? Buy optional collision damage waiver coverage. Cost depends on the rental company, the part of the country and coverage options. Your personal collision and comprehensive coverage likely will not transfer to a rented moving van. Other options offered by the rental company include cargo protection, medical insurance for you and/or passengers, and accidental damage waivers.

Hiring movers. The moving company will offer liability coverage for damage or breakage. This is not technically insurance and so is not governed by state insurance laws or enforced by your state’s insurance department. If you have a complaint, you will have to contact the Better Business Bureau.

Under federal law, interstate movers must offer two different liability options. Ask for policy terms in writing…

Full-value protection: The mover is liable for the replacement value of your belongings. Any property lost or damaged while in the mover’s custody will be repaired, replaced or reimbursed via cash settlement for current market value. Costs vary by mover and the deductible you select. Full-value is the more expensive option. If you don’t opt for the less expensive released-value, you’ll be charged at the full-value rate.

Released-value protection: This is offered at no charge but provides only 60 cents per pound per article. So if the mover breaks a $1,000 item that weighs 10 pounds, you would get only $6. You can augment that coverage by buying separate liability coverage, with losses beyond the 60 cents per pound covered up to the limit of the policy you’ve purchased. Other tips…

Inventory: Take photos or videos of your goods before the trip. Get a signed inventory sheet before the move, use it to make an inventory of damaged items along with monetary value. Notify the moving company as soon as possible.

Damage to premises: Make sure the moving company’s policy covers damage done to either house.

Time limits: Note any damage while you unpack and the deadline for claims. Movers have up to 30 days to respond to a claim and up to 120 days to provide resolution. If that doesn’t happen, contact the Federal Motor Carrier Safety Administration (www.FMCSA.dot.gov) or the Department of Transportation’s Office of the Inspector General (www.OIG.dot.gov/investigations, and click on “Household Goods Moving Fraud” in the Quick Links menu).