Accidents do happen, especially in the hustle and bustle of an important cross-country or intra-city move. While most moves happen without any issues, there's always the possibility for your most valued possessions to be damaged or lost during the move.
Having the proper moving insurance coverage ensures that you'll be adequately compensated for any damages or losses that occur during shipment. The following provides an in-depth explanation of your insurance coverage options, as well as how to use your insurance if your items end up damaged or lost.
Your Liability Options
The two most common liability coverage options for moving insurance are full value protection and released value protection:
- Full value protection makes your mover liable for the replacement value of all lost or damaged belongings in your entire shipment. At its discretion, your moving company will either have those items repaired, replaced with similar items or offer a cash settlement for the cost of repairs or the items' current market replacement value. Items whose value exceeds $100 per pound (such as jewelry and antiques) may not be covered fully due to limits in mover liability.
- Released value offers minimal protection for your belongings. Under this liability coverage, the mover will only offer compensation for lost or damaged belongings at no more than 60 cents per pound per article. For example, if your mover loses or damages a television that weighs 25 pounds but has a value of $500, you'll only receive $15 in compensation under Released Value.
Full value protection coverage is usually the more expensive of the two choices, with average costs dependent on various deductible levels. Released value is usually the most economical option, as it's normally included at no additional cost to the customer. However, it provides little coverage unless it's paired with supplemental liability coverage or a third-party insurance policy.
If your mover is transporting expensive jewelry, artwork or other highly valuable items, you may want to invest in a special floater insurance policy. This type of insurance provides full coverage for high-value items regardless of their location at the time of the loss. Floater insurance ensures that you'll receive the full value of your insured belongings. However, most policies only cover individual items, so multiple policies may be needed for multiple items.
How Soon to Make a Claim?
If you've noticed some damage on your belongings or discover that one or more valuables were lost during the move, you only have a limited amount of time to make your insurance claim. According to Diane Schmidt, a claim must be filed within 9 months after delivery of your items. Within 30 days of making a claim, the mover must acknowledge receipt of your claim. Within 120 days, the mover must deny the claim or offer compensation for your lost or damaged items.
Keep in mind that many moving companies require you to fill out an inventory sheet for high-value items. Having such a detailed list ensures that all of your expensive goods are accounted for, especially in the event that a claim for any high-value goods is made.
Can Your Homeowner's Insurance Cover the Move?
While a typical homeowner's insurance policy covers your personal property, it may or may not cover that property during a major move. It's important to call your insurance company and verify whether or not your belongings are covered during shipping to your new residence.
According to Schmidt, the majority of homeowner's insurance policies cover 10 percent of the value of your belongings during transit. Some insurance policies offer as much as 50 percent coverage under some circumstances. The amount your homeowner's insurance provider will cover may depend on a variety of factors, including deductibles and other policy stipulations.
For more information on movers insurance, visit sites like http://www.bekins.com.