Some of you may think that you don’t actually need a moving insurance when relocating. Some may even be under the impression that the content or property is insured by the moving company which is definitely not the case. And even if your relocation company does not offer coverage to possible damages, its insurance services will also not extend its coverage to you as the renter in cases of accident, loss or damage.
Types of Valuation Coverage
It is important to know that moving companies provide valuation instead of insurance. The following are the types of valuation coverage offered by relocation companies:
Complete Value Protection
Coverage includes protection of content or property against damage and loss. It also covers repair expenses and replacement of moving property. Although with minimal coverage value, this is not offered by all moving companies.
Assessed Value Protection
This valuation coverage is applicable if you have valuable items you want insured while in transit. You base your coverage on the value of your prized items and can purchase insurance with value of $1000. The assessed amount must be reflected on the bill of lading, though, in order to be acknowledged.
Declared Value Protection Based on Weight
Computation of declared value coverage is based on the total weight of your content for moving multiplied by a certain amount per pound. The output will be the basis of the moving company as their liability to you being their renter in cases of loss or damage.
Important Information in Moving Company Contracts
Reading contract details is usually dismissed by most of us, but we fail to realize that going through the contract is downright important before signing it. Here are the most important details you need to know before signing your moving company’s contract:
- The moving company is not responsible for any damage or loss of your property during transit. If the contents inside the box are damaged because it is not well-packed, it is the renter’s liability.
- In case you are not aware, most contracts also state that if you pack your property all by yourself instead of the company doing it for you, any damage is not their liability but yours.
Need for Moving Insurance Policy
So, after learning fully well that your moving company only offers moving services but not liability and protection of your property, it is time to highly consider getting an insurance coverage to be included in your moving costs.
Getting a basic insurance plan does not guarantee complete coverage of your possession while it is being relocated, and this is why you should consider additional insurance to cover even the loading and unloading of your packed items.
Most moving companies offer various kinds of moving insurance that go along with their moving truck rentals. The most commonly purchased additional insurance by renters is one that is called “Goods in Transit” insurance policy. But it is best to consult your insurance agent if you still need any additional insurance plan or what moving company offers the most comprehensible insurance coverage.