What is Moving Insurance?

Valuation Coverage vs. Insurance?

The most important feature to know about valuation is: VALUATION COVERAGE IS NOT INSURANCE. Valuation offered by van line carriers is carrier contractual liability based on the weight of your household goods, and established by either the Department of Transportation (DOT) or a State agency/organization.Below are options offered by most of our van liners, agents, and carriers:

1. $0.60 per pound per article – Limited contractual liability based on a DOT or State tariff requirement. This limits the moving company from paying out the actual value of an article, in the event of loss or damage. It allows them to pay a minimal amount on damage or catastrophic loss based entirely on the weight of the item itself.

2. Replacement Cost Protection – A higher level of protection available for an additional charge. The van line or forwarder will require the purchase of a minimum amount for this protection, based on the weight of the household goods shipment.
Disadvantages of Valuation Coverage:
• Regardless of the valuation plan you choose, loss or damage to your goods will only be paid if the carrier is liable.
• It does not cover any loss or damage due to Acts of God, high winds, earthquakes, tornadoes, hurricanes, riots, strikes, civil commotion, etc. (refer to the Bill of Lading for greater details on standard valuation exclusions).
• The van line or forwarder that damaged your household goods settles its own claims.
• The claim adjustment process is not standardized.
• Replacement Cost Valuation (which amounts to a simple increase in basic liability) typically costs more than insurance.
• Replacement Cost Valuation will not provide adequate financial protection against serious loss or damage. It was designed to remedy small routine claims. RCV may leave you inadequately protected.

Advantages of Insurance:
• A Certificate of Insurance is issued to each customer specifying the terms and conditions of the “All Risk” Insurance policy, which provides comprehensive protection for household goods against loss or damage. The policy includes Replacement Cost Coverage with several deductible options to reduce your cost.
• A Certified Property and Casualty claim adjuster processes each claim in the same manner, regardless of van line or forwarder you selected.
• Claims are settled directly by claim adjusters, not employees of the van line or the forwarder.
• Insurance covers damage or loss from causes such as Acts of God, hurricanes, high winds, tornadoes, and earthquakes, riots, strikes, civil commotion, fire, theft, etc.
• Shippers receive a “Certificate of Insurance” outlining all provisions, stipulations and exclusions.
• Insurance is usually less expensive, even with these added benefits.
• If your household goods go into storage, insurance includes, at no additional cost, coverage for a period of time, usually up to 90 days. If your storage period exceeds 90 days it is possible to obtain extension coverage, at a nominal cost

Please note that MAP MY MOVE, is not an insurance broker. We can help provide you with additional insurance coverage from one of our affiliate programs. Please speak with your relocation agent for more details.

insurance valuation coverage