Is moving insurance worth it? Moving insurance provides financial protection against damage or loss of your belongings during a move. Whether you’re relocating across town or to another state, accidents can happen—items can break, get lost, or be stolen. Investing in the right type of moving insurance ensures that you’re covered in case of unexpected mishaps.
In this guide, we’ll break down what moving insurance covers, different types available, costs, and whether it’s worth it for your move.
1. What is Moving Insurance?
Moving insurance is a policy that protects your belongings from damage, loss, or theft during a move. It ensures that if something happens to your items while in transit, you can receive compensation instead of bearing the cost yourself.
Does Your Moving Company Provide Insurance?
Many professional movers offer basic coverage, but this isn’t always enough to fully protect your items. That’s why additional coverage may be necessary.
2. Types of Moving Insurance
1. Released Value Protection (Basic Coverage)
✔ Provided for free by moving companies.
✔ Compensation: $0.60 per pound per item (which may not be enough for valuable items).
✔ Limited coverage—doesn’t cover the full value of damaged or lost belongings.
✔ Best for: Low-risk moves where you’re not transporting expensive items.
2. Full-Value Protection (FVP)
✔ Covers the total replacement or repair cost of lost or damaged belongings.
✔ Provided by moving companies for an additional fee.
✔ Movers are responsible for repairing, replacing, or compensating for lost or damaged items.
✔ Best for: People moving high-value belongings (furniture, electronics, antiques, etc.).
3. Third-Party Moving Insurance
✔ Separate insurance purchased through an insurance provider.
✔ Covers more than what moving companies offer (including natural disasters, accidents, and theft).
✔ Some policies also cover damage that happens while in storage.
✔ Best for: International moves, long-distance relocations, or valuable items.
3. What Does Moving Insurance Cover?
Moving insurance coverage varies depending on the policy type and provider, but common protection includes:
✔ Covered
✅ Damage during transit (scratches, dents, or broken items).
✅ Theft or loss of belongings.
✅ Fire, accidents, or natural disasters.
❌ Not Covered
⛔ Damage due to improper packing (if you packed it yourself).
⛔ Loss of valuable jewelry, documents, or cash.
⛔ Normal wear and tear.
Always check the fine print of your policy to know exactly what’s included.
4. Cost of Moving Insurance
The cost of moving insurance depends on the coverage type, total value of your belongings, and the moving distance.
✔ Released Value Protection – Free (but limited coverage).
✔ Full-Value Protection – Typically 1% to 2% of the total declared value of your belongings.
✔ Third-Party Insurance – Can range from $100 to $1,000+, depending on the policy limits.
5. Do You Need Moving Insurance?
Moving insurance is not legally required, but it’s highly recommended if:
✔ You have valuable, fragile, or irreplaceable items (electronics, antiques, artwork).
✔ You’re moving long-distance or internationally.
✔ Your belongings will be in storage before arriving at your new home.
✔ You want peace of mind knowing you’re financially protected.
6. How to Choose the Right Moving Insurance
When selecting moving insurance, ask yourself:
✔ What’s the value of my belongings? – High-value moves require full-value or third-party coverage.
✔ What’s my risk level? – If moving across the country or hiring an unknown mover, extra insurance is smart.
✔ What does my mover cover? – Ask for details about what’s included in their insurance before purchasing extra coverage.
Pro Tip:
Compare policies from different providers to find the best coverage for your budget.
Conclusion: Is Moving Insurance Worth It?
✔ If you’re moving expensive, fragile, or sentimental items, investing in full-value protection or third-party insurance is a smart decision.
✔ For short-distance moves with minimal risk, the basic coverage might be enough.
✔ Moving insurance gives peace of mind—helping you avoid unexpected financial loss.
Leave a comment