Moving day can be quite stressful as you’re starting a new life in a new home and everything you own is being put into a truck and carried away. The worry about breakage and loss of expensive items is high for homeowners who are moving, everyone deals with it. But does your homeowners insurance cover the cost of any damage sustained during the move?
It all depends on the situation under which the damage occurs and what insurance you have. Most homeowners policies will not cover damages caused by the movers or during the moving process. The loss must be caused by a risk noted in your policy. Once your belongings leave your property and are in transit to your new home, any damage sustained by something not within your policy will be left uncovered by your standard homeowners insurance.
If the movers drop a table and crack the legs or tear an expensive painting, your homeowners insurance probably won’t cover the cost of repairs. Reputable moving companies may offer their own form of insurance to protect you against worker negligence and accidental property loss. Talk with your agent to find out your options and to get quotes about possible movers insurance policies you can purchase to cover yourself in the event of damage.
Theft or Breakage?
During the moving process, numerous risks are present that could damage your belongings or cause loss to your assets. Two of the biggest risks while moving are theft or breakage. Unfortunately, some moving companies are not the most secure and you may find that some of your belongings have been taken or broken.
If your items have been stolen, by the movers or someone else, most homeowners insurance policies should cover you for replacement. This is because theft is a listed risk in most standard homeowners insurance policies along with fire. If your items are stolen during the moving process, you may be covered as long as the cost does not exceed your limits.
Any items that are broken during the moving process might be a different story. As long as the damage is caused by a covered risk, you’re safe. This means that unless your homeowners policy specifically states movers as a risk, if your items are broken by your movers, you’re probably not covered by your homeowners insurance policy.
What are your limits?
Your limits are another important factor that go into determining if you’re covered for loss by your insurance policy. Often times your insurance limits will be lowered while you are moving which means even if your items are covered for a risk, if the cost to repair exceeds your coverage limit, you will not be reimbursed.
It’s hard to find the proper risk coverage and rare to be covered by your homeowners insurance during a move. To find out that you are covered for the risk that caused damage, but the cost exceeds the limit can be frustrating. Scheduled items coverage can help combat this issue, however, and will help to cover your items even in the face of mover negligence.
Scheduling specific items are typically suggested for rare and expensive items like art and jewelry. Covering these items will help to boost your limits on these items and protect them from the moving process. Scheduling items is a good idea that will help put your mind at ease and protect you from losing valuable and irreplaceable belongings.
Don’t leave yourself unprotected during the moving process; speak with your insurance agent to find out what your coverage limits are and what risks your homeowners insurance covers you for during a move. Remember that your limits are lowered during the moving process so items that were typically fully insured before might not be so now.
Check your moving deductible
Your deductible will be used by your insurance company before they begin to cover repairs. If you have a $1,000 deductible on your belongings during the move, and the damages are $6,000 your insurance will cover you for $5,000 in damages. Your deductible will pay out first before insurance kicks in.
If your claim is for $500 but your deductible is for $1,000 your insurance will not cover any costs. As with all homeowners insurance cases, your rates will go up if you file a high number of claims and moving is no different. If you don’t have to file a claim, it’s recommended you don’t to avoid your insurance rates going up or being canceled flat out.
Your homeowners insurance will cover you for damages that occur from certain circumstances. You might be left uncovered unless you purchase a separate movers insurance policy or schedule your items specifically. Speak with your agent to find out what policies best suit you and will cover you and your belongings during your move.
