What Insurance Options Are Available for Interstate Removals?

Posted on: 29 April 2015

It is important to have insurance protection for your belongings during interstate removals. This is because the long distance over which the belongings will be moved creates some risks of the property being damaged or even lost during transit. This article discusses the three common kinds of cover that you can get for your property.

Basic Liability Cover

This usually comes at no cost to you; the removal company meets the cost of this insurance. The protection you get is normally set at a certain value per pound of your belongings. The disadvantage of this kind of coverage is that it puts a nominal value on your belongings so in case the entire shipment was lost it would be very hard to replace your property using what the insurance company gives you. For instance, the value can be set at 60 US cents for each pound of your belongings; that is a very low value.

Declared Value Insurance Cover

This is an improved form of the basic cover discussed above. Here, you put a monetary value on your belongings and you will be charged basing on that total you give. For instance, you may be charged 1 percent of the total value of your belongings, according to your valuation. If the value declared is $1,000, then you will pay $10 for this kind of cover, as per the example already described. In case you belongings are lost, the company will reimburse you for their replacement. What they pay you will be less by the depreciation on that property. For instance, if you lost a fridge, the company will deduct the depreciation value from the cost of getting a new fridge of the same kind and give you the difference between those two values.

Extra Care Coverage

Some interstate removal companies allow you to set a value to each of your belongings. For instance, you will list each of your belongings and put its value against it. In case that item gets lost, you will be paid its full value without any deduction being made to factor in depreciation.

As you can see, there are a number of options available to you if you would like insurance protection for your belongings. Contact several moving companies and insurers so that you get the specific conditions or terms attached to each kind of cover. You can then choose the protection that in within your budget, and satisfies your protection requirements.