When moving house you need to leave favorite places, comfortable routines, and loved ones behind and brave the unknown with all its challenges and uncertainties. You also need to take all your earthly possessions to your new home and this trivial aspect of the relocation process brings about as much stress as the emotional and psychological tolls of moving. And not only because of the laborious work (packing), difficult decisions (purging your belongings, researching your options, choosing movers), and considerable expenses (paying for moving services) – the worry about your belongings being lost or damaged during the relocation is one of the greatest stress factors of moving.
The only thing that can help ease your worries and give you some peace of mind is moving insurance. Getting special moving insurance, however, will increase the final cost of your move, so it may not really be worth it. In fact, you may be wondering if it is at all necessary – your homeowners’ insurance covers damage to your items, doesn’t it?
Not entirely. The truth is that the belongings covered by home insurance aren’t necessarily protected while they’re between homes. Even if your policy includes coverage of moving and storage, it may not cover as much as you think. You need to find out the specifics so you can make an informed decision about how to best protect your items during your move.
Here is what you need to know:
Homeowners’ insurance and moving
So, does homeowners’ insurance cover moving? It does, but only in certain situations.
If your belongings are stolen during the move or a catastrophe strikes and your items are destroyed, your insurance policy will cover the loss. However, it isn’t likely to provide coverage for individual items damaged during the relocation process (such as broken pieces, torn upholstery, or ruined artwork).
While homeowners’ insurance does cover damage to personal belongings, the loss has to be related to a peril that’s listed in the policy (covered perils include hazards like fire and theft).
So, your homeowners’ insurance will cover damage to your belongings during a house move if:
- the moving truck transporting your shipment gets into an accident, catches fire, etc.;
- there is a fire (or another covered disaster) at the storage facility where your items are kept while awaiting further transportation;
- your items are stolen from the moving truck or from the moving company’s storage facility.
In all other circumstances, your homeowners’ insurance is unlikely to cover moving damage – if someone drops an item and it breaks, if an item is scratched, chipped, dented, marred, or otherwise damaged during transportation, loading and unloading, etc.
You should also keep in mind that some insurance policies cover damage to personal belongings only if that damage occurs at home – they do not cover damage that occurs while the items are in transit or in the care of movers.
Good to remember: Many homeowners’ insurance policies that include moving and storage coverage don’t actually cover damage to individual items – they only cover catastrophic damage to your belongings (when all your possessions are destroyed in an accident).
Coverage limits
When asking yourself “Does my homeowners’ insurance cover moving?”, you need to remember that whether it’s during a move or not, your property will only be covered up to the limits on your policy – there may be lower limits for damage to your personal possessions that occurs while they’re being transported from one place to another. Besides, the coverage limits vary, depending on the category of property – there may be maximum coverage amounts for valuables such as jewelry or artwork.
To ensure better protection for your more valuable belongings, you can purchase supplemental insurance (the so-called scheduled personal property coverage) for specific, high-value items. The scheduled items will typically be covered regardless of where the loss or damage occurs (just make sure you know exactly what kind of damage is covered).
To sum it all up: Does homeowners’ insurance cover moving damage? While most homeowners’ policies provide some coverage, it is limited and doesn’t apply to all situations that can arise during a house move.
To find out exactly what your policy covers, under what circumstance you’ll be reimbursed, and how much your compensation will be, you need to talk to your insurance provider.
Questions to ask your insurance agent
The best way to find the answers to the troublesome question “Does home insurance cover damages during moving?” is to discuss the matter with your insurance provider.
Contact your agent a month or so before your move to find out if your current policy can help protect your belongings during your relocation, what type of coverage it provides, and whether you need to buy additional moving insurance.
When talking to your insurance agent, be sure to ask the following important questions:
- Does homeowner’s insurance cover items damaged during a move?
- Does my current insurance policy cover my belongings while they’re in the moving truck or in the movers’ custody?
- Under what circumstances is damage to my belongings covered?
- What kind of damage is covered?
- Will the coverage limits change while my belongings are in transit?
- What is the deductible when making a claim? – When making an insurance claim for items lost or damaged during a move, your normal insurance deductible (the amount you need to pay before your insurance coverage kicks in) will still apply. It could range from a few hundred to a few thousand dollars, depending on your policy. Keep in mind that the deductible may increase during a move – and that you will have to pay for it before the insurance company covers any loss.
Bonus tip: Don’t forget that you will have to update your homeowners’ insurance policy after the move and take the opportunity to ask your agent about expected changes to your premiums, coverage limits, coverage conditions, etc.
If it turns out that your homeowners’ insurance doesn’t provide the coverage you want for your items when moving house, be sure to check what your moving company has to offer:
- Moving companies provide limited liability protection (that covers $0.60 per lbs per item) for free as part of their services;
- Professional movers offer full value replacement valuation for an extra fee – if any of your belongings are lost or damaged during the move, you will be reimbursed for the full cost of repair or replacement of the damaged/missing items.
To ensure your peace of mind and reduce the stress of moving house, consider purchasing additional insurance and look for comprehensive coverage that provides full reimbursement for lost or damaged items. And be sure to hire reputable movers who will not only help you get appropriate coverage but will also make sure that you don’t need to resort to insurance. Safe moving!
