Your mover is liable for loss of, or damage to, any household goods to the extent provided in the current Surface Transportation Board’s Released Rates Order. You may obtain a copy of the current Released Rates Order by contacting the Surface Transportation Board at the address provided under the definition of the Surface Transportation Board. The rate may be increased annually by your mover based on the U.S. Department of Commerce’s Cost of Living Adjustment. Your mover may have additional liability if your mover sells liability insurance to you.
All moving companies are required to assume liability for the value of the goods transported. However, there are different levels of liability, and you should be aware of the amount of protection provided and the charges for each option.
Your mover’s tariff must provide for liability insurance coverage. The tariff must also provide for the base transportation charge, including its assumption of full liability for the value of the shipment. This would offer you a degree of protection in the event your mover fails to issue you a policy or other appropriate evidence of insurance at the time of purchase.
Now having checked out schools, workplaces and so forth, another thing many of us tend to forget is insurance. Accidents occur every day and with that in mind note that these often occur as we are packing, and moving the goods to the new premises.
Therefore we need insurance cover while we are on the road. Many insurance policies which we have for our vehicles, do NOT cover damage to our furniture, or loss if we are involved in any sort of accident. Therefore we need additional travel insurance.
Many movers maintains $5 million worth of General Liability insurance, as well as required Workers’ Compensation insurance coverage. Nearly every commercial office building in New York City requires insurance certificates prior to any work performed on the premises. The amount of insurance a company carries is an important factor when choosing a mover; should your current or future building require more than the mover is covered for, the management will not allow the movers to work in the building. They maintain a substantial amount of insurance for our client's convenience and peace of mind.
The Big Mistakes
One of the biggest mistakes we make when we move is to underestimate the insurance coverage offered by most movers. Often we check that the company offers insurance and then assume it will cover us for all eventualities and forget about it. This can cause a lot of problems.
When it comes to costs, you should be looking to get at least 2-3 quotes before you make a decision. Don't just look at price but look at what they'll offer you for the cost. It may be more cost effective to pay a little more to get more services. Don't be afraid to ask them about how long they've been in business, their experience or for customer referrals. Talk to them about how long it will take to move you. DO ask them about their insurance cover and claims protection and how far it extends (and doesn't!). You should NEVER choose a moving company that doesn't have adequate insurance. It's also important to get a quote in writing and to make sure that you completely understand how the quotation works. This is one of the times in your life when it really does pay to read the small print. For example, some moving companies won't cover you for damage if you pack goods yourself unless they play an obvious role in damaging them. You must make sure that they not only explain your quote to you but that you get a full copy that includes any relevant terms and conditions, bills of lading etc. It's also good to ask how many people will be assigned to your move - the more there are, the quicker it'll go. Most people generally find that 3 is an ideal number - this gives you 2 people to do most of the loading/unloading and 1 to sort out the vehicle. It also means that somebody is with your possessions most of the time for added security.
Are you trust the mover insurance?
Whilst most moves are smooth and trouble-free, accidents and damage to our property can be a real headache. Insurance cover is therefore a vital part of the moving process. Without it you risk losing or damaging your possessions with no recourse to compensation. You have two ways of ensuring adequate cover - you don't have to choose one over the other and may opt to utilize both:
1. Talk to your current home insurers and ask them if your existing policies cover you during the move. If they do then check if there are any exclusions etc., and, if you don't have cover for the move in writing, ask if they will provide you with a copy. If your insurer won't cover you under your existing agreement or you are worried that the cover is inadequate ask if you can pay a premium for special short-term cover.
2. Talk to your movers before you agree to move with them. Ask them to explain their insurance cover, limits, exclusions and so on and take care to read any policy documents they provide. You should NEVER choose a moving company that does not offer insurance.
Individual moving companies and home insurers will offer varying degrees of insurance cover and claims levels and you'll only really find out how this applies to you by reading the small print of your contract information and by talking to the company about it in depth. In most cases you'll be expected to know how much cover you need and to provide a list of valuable items (you may have to pay extra for these depending on their value). Some insurers will not include certain types of valuables as standard within their policy - they may be willing to insure these items but you will most likely have to pay a premium. Remember that many moving companies won't allow you to claim for damage in transit if they didn't pack your goods themselves. So, unless you can prove that it was their fault, their insurers simply won't pay out if something goes wrong. It's vital therefore to make sure you assess their liability in the event of a claim.
It's also worthwhile checking to see if your moving company's policy includes damage to your premises. The majority of movers are experienced and careful but accidents can happen to your homes as they remove and move furniture etc. Most companies will offer cover for this eventuality - do be aware that if a mover does cause damage to your home on the day of a move you will need to tell them about it immediately (or as soon as you notice it). In all moving insurance policies you'll likely find that there is a specific time-limit for claims. If you discover damage outside of this limit you won't be able to make a claim. Again, check the terms and conditions for actual regulations on this.
You may come across various types of moving insurance cover. Primary types include:
1. No charge for the actual insurance cover as it is included in the moving quote. In this case you may only be able to claim back a percentage of the value of your goods if you experience damage/loss.
2. You buy a policy and pay according to the weight of your goods (generally this works by the pound). This type of policy is often limited by depreciated value so you may not get back what you paid for an item but an estimate of current worth. This is often termed ‘like for like' cover.
3. You pay extra to cover value instead of just weight. In this case you may have to declare the value of your insured goods to the insurer/mover.
4. You pay for a full value policy, which will give you current market value in the event of problems. This is often termed ‘new for old'. This can be in the form of repair, replacement or a payment.
Some movers will ask you for a ‘guestimate' of the total value of your goods. Although this is hard to get right, it's essential to be as close as possible to get the best levels of protection. If you have a lot of really valuable items to move, be prepared to have to produce a list of them, with assessments and perhaps even photos before you can have cover. You'll find that many movers' insurance policies are calculated on a percentage of the removal cost rather than on the value of your goods. This may not be enough for your needs and most will recommend you then to pay a premium for extra cover. You need to check the maximum premium that they will allow for one item and also how much of the claim you will lose if you need to claim on the policy.
For many of us the basic insurance policy of our chosen moving company will be enough. We need to pay particular attention, however, if we are planning a long-distance or international move. If you are moving internationally especially it's essential to have full cover. Your goods may be passing borders and may be subject to custom checks and so on. With these moves you'll have to factor in increased possibilities of accidents, theft, loss, damage and so on. It makes sense here to go with a moving company that is well experienced in these types of moves for best advice and cover. If your goods may be in storage for periods during your moving process then you also need to check the insurance cover for the storage facilities.
Read the small print!
The best way to assess moving insurance policies is to read the small print carefully. Look for exclusions - i.e. clauses that mean that you are not covered by insurance or that will not pay out in certain circumstances. This will give you the clearest idea of the extras you might need, how comprehensive the policy is and the things you might need to look out for. For example, many movers have a ‘pairs' or 'set' clause. This means that if a part of a set of goods is damaged like a dining room chair or a piece of a dinner service the insurers will agree to pay for the damaged item. However they will not pay to replace the whole set if there is no other damage to it even if you cannot find a matching piece. So, if you have a set of four dining room chairs and your movers break one in transit, they'll pay for a replacement for that chair. However, if you cannot find a replacement that matches your set you'll no longer have a matching set and they will not pay to replace all four.
Are they movers, or insurance agents?
In addition to these options, some movers may also offer to sell, or procure for you, separate liability insurance from a third-party insurance company when you release your shipment for transportation at the minimum released value of 60 cents per pound ($1.32 per kilogram) per article (option 1). This is not valuation coverage governed by Federal law, but optional insurance regulated under State law. If you purchase this separate coverage and your mover is responsible for loss or damage, the mover is liable only for an amount not exceeding 60 cents per pound ($1.32 per kilogram) per article, and the balance of the loss is recoverable from the insurance company up to the amount of insurance purchased. The mover’s representative can advise you of the availability of such liability insurance, and the cost.
If you purchase liability insurance from or through your mover, the mover is required to issue a policy or other written record of the purchase and to provide you with a copy of the policy or other document at the time of purchase. If the mover fails to comply with this requirement, the mover becomes fully liable for any claim for loss or damage attributed to its negligence.
Family and Personal Insurance
Now having checked out schools, workplaces and so forth, another thing many of us tend to forget is insurance. Accidents occur every day and with that in mind note that these often occur as we are packing, and moving the goods to the new premises.
Therefore we need insurance cover while we are on the road. Many insurance policies which we have for our vehicles, do NOT cover damage to our furniture, or loss if we are involved in any sort of accident. Therefore we need additional travel insurance.
