As you begin to prepare for a move into your new community, you’re most likely getting competitive cost estimates from local or national movers. It’s important to have your furniture and valued belongings covered for the right amount in the event of loss or damage, to understand what your options are, and your obligations for declaring and signing off on your selected coverage type.
LivNow Relocation will recommend certified, approved movers who have been thoroughly vetted to ensure they are licensed, bonded, and insured. But even if you choose to use your own mover, be sure to discuss coverage for your upcoming move with your mover’s sales representative. There are several different types of coverage for out-of-state moves and each mover may have a different type of coverage for local moves into your new community.
Here is some terminology that may be useful in your discussions with the mover:
Valuation Coverage: Also referred to as moving insurance (but it is not technically an insurance policy), is a protection plan that moving companies offer to their customers to cover potential damages or losses to their belongings during a move.
- Basic Valuation: Also known as Released Value Protection or “Carrier’s Liability.” This is the most basic and often the default level of coverage provided by moving companies at no additional cost. However, it offers minimal protection for your belongings. Under basic valuation, the moving company is liable for up to a certain amount per pound of the item damaged or lost. This amount is usually very low (e.g., 60 cents per pound), meaning you may not receive enough compensation to fully replace an item’s value if it gets damaged. See Illustration below
- Full Valuation Coverage: Or Full Valuation Protection (FVP) is a more comprehensive option, but it is not typically included in the standard moving quote and comes at an additional cost. With this type of coverage, the moving company is responsible for repairing or replacing any items that are damaged, lost, or destroyed during the move, up to their current market value or replacement cost. The cost of full valuation coverage is based on the declared value of your goods and the deductible you choose. See Illustration below
It’s essential to understand that even with full valuation coverage, there might be certain limitations and exclusions. For example, valuable items such as jewelry, antiques, and artwork might require special coverage or an appraisal to ensure they are adequately protected.
When it comes to a local move, which typically involves a shorter distance and is confined within the same state or city, there are different types of valuation coverage options available. Some local movers have a “minimum coverage” that you must select with a separate line-item charge, while other movers may include a certain value of coverage at no extra cost. Be sure to know the difference!
Before your local move, the moving company will provide you with information about valuation coverage options, and you will be required to choose the level of protection that best suits your needs.
It is essential to carefully read and understand the terms and conditions of the coverage, including any limitations and the claims process, to ensure you are adequately protected during your move. Additionally, consider checking with your homeowner’s insurance policy to see if it provides any coverage for your belongings during a move.
So how do I compare Carrier’s Liability/Basic Valuation versus Full Value Protection?
Here’s an example of how a single item, such as a 50-pound chair or piece of furniture worth $1,500 would be handled. As you can see, there is a big difference in how your piece of furniture would be valued in the event of loss or damage.
More importantly, on the day of the move, be sure you sign the mover’s “bill of lading” or mover’s transportation paperwork at the original location prior to leaving the house. Ask the driver…where do I sign for the coverage I selected?
Remember, the LivNow Relocation Specialist will guide you with properly vetted moving professionals, so you have the peace of mind knowing you have a quality mover that is familiar with working with senior residents and your new senior living community. Know your options, rights, and responsibilities as a consumer. We’re here to help!
