What Does Moving Insurance Cover?

Moving Insurance: What Exactly is it?

If you’ve never moved with a moving company, you may be unsure about what moving insurance is. Moving insurance is a protection plan for your belongings that your moving company transports for you.

Which Coverage Option is Best For You?

The coverage of your belongings depends on which plan you pick. The best plan for you may come down to the value of your items and your trust in your moving company. Here are some typical options:

Basic Coverage - Moving companies are federally required to provide at least basic coverage for interstate moves. When receiving a quote from a moving company, they include the cost of basic coverage, so you shouldn’t have to pay extra. If they claim you have to pay extra for basic coverage, that’s a red flag.

Full Value Protection - When purchasing full-value protection, you secure a protection plan that offers significantly more coverage than the basic option. An average coverage estimate for full-value protection is six dollars per pound. This type of coverage typically costs around one percent of the value of your personal items.

Third-Party Insurance - For many with a lot of very high-value items, it’s worth the cost to get third-party insurance. Third-party insurance is a great option to cover expensive jewelry and high-end household items.

What Does Moving Insurance Cover?

Technically, moving coverage and moving insurance are two different things. Moving companies can offer moving coverage; only third-party insurance companies can offer actual moving insurance. We explain more here:

Covered by moving company: Damage or lost items while under the care of the moving company, up to a particular dollar amount. Third-party insurance coverage: Damage or lost items due to situations out of the control of the moving company’s control or for amounts exceeding the liability limit.

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