When you are moving to a new home, there are many different decisions that you need to make. One, in particular, is what type of moving insurance you should purchase. It’s important to understand the different types and levels of insurance in order to make the best decision for you and your family. Even if you are carefully planning your move and using the proper equipment (and even using a storage unit as an intermediary to make the move easier), there is still a chance that there will be damage to people or property. As such, familiarize yourself with the main types of moving insurance…
Full Value Insurance
This is the highest level of insurance that you can purchase. It covers the cost of your entire shipment. In the case that anything is lost, damaged, or destroyed, the movers are responsible for either repairing it, replacing it, or reimbursing you for the full price of the object. The price of full value insurance will depend on the level of deductibles that are offered, so make sure that you fully understand the policy before purchasing.
Released Value Insurance
RVI (or released value insurance) is the least expensive option but also makes the movers less responsible for damage to any of your items. Under most released value insurance plans, the movers are responsible for 60 cents per pound per article damaged, lost, or destroyed. This can be particularly problematic for a light yet expensive items, such as an iPod.
This type of insurance can be used in conjunction with released value insurance. As the same suggests, it is outside insurance coverage that you purchase at your own expense. This insurance will cover all damage beyond the 60 cents per pound per item that the released value insurance covers.
No matter which choice you make, there are several things that you must keep in mind. Any of the following actions can either limit or remove the moving company’s liability in the case of lost or damaged items:
- packing your own boxes
- including hazardous or perishable items without telling the mover
- failing to tell the movers about expensive items
- waiting longer than 9 months to file a claim
Whichever type of moving insurance you purchase, it is important to fully understand the parameters of your insurance so that you remain protected.