Moving can be an exciting and nerve-wracking experience. Whether you are moving across town or across the country, it’s essential to ensure that your belongings are safe during the move. Accidents can happen, and that’s why it’s crucial to have moving insurance.
Moving insurance is designed to protect your belongings during a move. There are different types of moving insurance, and the cost varies depending on the coverage you choose. In this article, we will explore the different types of moving insurance, their costs, and what you need to know.
Basic Carrier Liability Coverage
When you hire a moving company, they are required by law to provide you with basic carrier liability coverage. This coverage is free of charge, and it provides limited protection for your belongings. However, it’s essential to understand that the coverage is based on the weight of your items, not their value.
Limitations of Basic Carrier Liability Coverage
Basic carrier liability coverage provides coverage based on the weight of your items. For example, if your belongings weigh 10,000 pounds and the carrier’s liability is $0.60 per pound, your coverage would be $6,000. However, if you have items that are valuable but don’t weigh much, like a piece of jewelry or a painting, you may want to consider additional coverage.
Full-Value Protection
Full-value protection is an optional insurance coverage that provides the most comprehensive protection for your belongings during a move. This coverage ensures that if any of your items are lost, damaged, or destroyed during the move, the moving company will either repair or replace the items or provide you with the cash value of the items.
Cost of Full-Value Protection
The cost of full-value protection varies depending on the value of your belongings. Typically, it costs between 1% to 3% of the total value of your items. For example, if you have $50,000 worth of belongings, full-value protection could cost between $500 to $1,500.
Released Value Protection
Released value protection is another type of insurance coverage that is less expensive than full-value protection. This coverage is also based on the weight of your items and provides limited protection for your belongings. The carrier’s liability is only $0.60 per pound per item, which means if your items weigh 10,000 pounds, your coverage would be $6,000.
Limitations of Released Value Protection
Released value protection provides limited coverage for your belongings. If any of your items are lost, damaged, or destroyed during the move, the moving company is only liable for $0.60 per pound per item. This means that if you have items that are valuable but don’t weigh much, like a piece of jewelry or a painting, you may want to consider additional coverage.
Additional Insurance Coverage
In addition to basic carrier liability coverage, full-value protection, and released value protection, you may also want to consider additional insurance coverage. This coverage can include items like high-value items, antiques, artwork, and more.
Cost of Additional Insurance Coverage
The cost of additional insurance coverage varies depending on the value of your belongings and the type of coverage you choose. Typically, it costs between 1% to 3% of the total value of your items.
Related: Is Moving Insurance Worth It At All? Find Out The Pros And Cons of Moving Insurance Here
