Moving Insurance: Do You Need It and What Does It Cover?

Moving Insurance: Do You Need It and What Does It Cover?

Introduction

Moving to a new home is an exciting adventure but comes with common fears like damaging or losing precious belongings during transit. The thought of your favourite vase shattering or your heirloom furniture getting scratched can be stressful, and that’s where moving insurance comes into play. Moving insurance covers your items while being transported, offering peace of mind. It ensures that if something unexpected happens, you’re not left bearing the total cost of repair or replacement, thus protecting your belongings during a move.

Types of Moving Insurance

When considering moving insurance coverage, it’s essential to understand the different types available:

1. Basic Released Value Protection

This is the most minimal coverage and is typically included at no extra cost. Under this plan, the mover assumes liability for your items at a rate of $0.60/lbs per item, regardless of the item’s actual value. For example, if a 10-pound lamp worth $200 is damaged, you’d receive only $6. Paramount Moving offers complimentary essential cargo protection, which includes this type of coverage for all services.

2. Full Value Protection

With complete value protection, the moving company is responsible for the replacement value of damaged goods in your entire shipment. The moving company can choose to repair the damaged item, replace it with an identical or similar one, or offer a settlement for the item’s current value. This type of coverage comes at an additional cost but offers more comprehensive protection.

3. Replacement Cost Coverage

Replacement Cost Coverage is available for moving services at Paramount Moving. This type of insurance covers repair, replacement, or compensation for the current market value of an item if it is lost or damaged. Coverage limits include $5,000 per damaged item or $50,000 for an entire truckload, with deductibles ranging from $250 to $1,000 depending on the policy selected. Note that TVs, high-value items, and boxes packed by the customer are subject to specific coverage terms.

4. Third-Party Insurance

Insurance from a third-party provider is an option if you require more extensive coverage. This insurance can cover items that movers might exclude, such as high-value or specialty items, and it often provides coverage beyond what the moving company offers.

Understanding these options helps you select the right level of protection for your needs, ensuring that your belongings are adequately covered during the move.

Exclusions

It’s crucial to be aware of what moving insurance does not cover to avoid surprises:

• Owner-Packed Items: Paramount Moving will not be liable for damage to items packed by the customer unless their crew drops the box. This includes dishware, porcelain, glasses, mirrors, and other fragile items.
• High-Value Items: Articles of extraordinary value, such as jewelry, cash, and important documents, are typically excluded unless expressly declared and additional coverage is purchased.
• Mechanical or Electrical Derangement: Internal damage to appliances or electronics without visible external damage is not covered.
• Natural Disasters and Risky Tasks: Damage from natural disasters and risky moves, such as tight staircases or oversized items through narrow passages, is not covered.
• Items with Water: Refrigerators, freezers, aquariums, and waterbeds must be drained before the move, as the moving company will not cover those items.

Knowing these exclusions allows you to take extra precautions, such as transporting valuable items yourself or purchasing additional coverage.

Deciding if You Need Insurance

So, do you need moving insurance? Here are factors to consider when making your decision:

Value of Your Belongings

If you own expensive furniture, artwork, or antiques, more than the basic coverage may be required. Assess the total value of your items to determine if complete value protection or third-party insurance is warranted.

Distance of the Move

Long-distance moves introduce more risk due to the extended time your belongings are in transit. The longer the move, the higher the chance of accidents or mishandling.

Existing Insurance Policies

Existing Insurance Policies

Peace of Mind

Investing in additional moving insurance can provide peace of mind if the thought of potential loss or damage causes significant stress.

Budget Considerations

While additional insurance increases moving costs, it might save money in the long run if something valuable is damaged or lost.

By carefully evaluating these factors, you can make an informed decision about purchasing moving insurance to protect your belongings during a move.

Paramount Moving’s Insurance Offerings

At Paramount Moving, we prioritize the safety and security of your possessions. We offer complimentary basic cargo protection, where we cover $0.60/lb per damaged item. For clients seeking enhanced protection, we offer Replacement Cost Coverage options with various deductible levels ($250, $500, or $1,000). Paramount Moving will repair, replace, or provide a cash settlement for damaged items depending on the selected plan. This coverage, however, excludes items like TVs unless special arrangements are made, as well as customer-packed boxes and high-value articles unless otherwise declared.

We strive to ensure that our services are flexible and meet the specific needs of our clients, offering peace of mind throughout the entire moving process. For more details please contact us at info@paramountmoving.ca or call (403) 618-5182.