Hello again from GoMovers.com! Today we're going to talk about a rather unpleasant topic: insurance for your move. No one wants to think about the possibility of their possessions being damaged or destroyed in their move, but it does happen. Getting insurance for you move can at least make you breathe a little easier, knowing that you'll be compensated if items are ruined when not in your possession.
A wide range of options are available from moving companies, private insurers and your existing homeowner's or renter's insurer that provide varying levels of protection for different causes of loss. No matter which mover you select, it pays to prepare in advance of your move so that you'll have time to gather the necessary information you'll need to weigh your moving insurance and mover's valuation options.
We can't cover every last detail here, but this should give you enough information to get you started. First, there are two basic types of damage that insurance protects you against, damage caused by the moving company through carelessness or an accident, and that caused through no fault of the moving company, such as a fire, tornado or hail storm that damages or destroys your property.
Moving companies are not insurance companies. In order for them to sell insurance, they would need to be licensed to sell insurance and would be subject to the same regulations as insurance companies. That's not something your typical moving company would want to do. Still, they want to offer some protection to their customers if damage or loss occurs to their personal property while it's in their possession. This protection is known as mover's valuation. This refers to the liability the mover has if damage is caused to your belongings while they are in the moving company's possession.
The standard valuation provided by moving companies at no extra charge only gives compensation of 60 cents per pound of damaged items, no matter what they are. For this reason it makes sense to purchase more insurance if you have a lot of valuable items or are traveling a long distance or overseas.
When you buy insurance, you can determine how much coverage you need and what the payout will be if there's damage. Your homeowner's policy likely will protect you in case of an "act of God" kind of loss, but you should check the details, especially if you have lots of valuable items. You can also get a private insurance policy that just deals with moving, though there are few companies that provide this kind of insurance. If you are undertaking a corporate move, the human resources department may be able to give you contact information for an insurer.
That's all for today. Next time we'll talk about the little details you need to remember when you move, like changing your address and updating your driver's license. If at any time you want more information on these topics, check out our "Making a Smooth Move" ebook at GoMovers.com.