Home Relocating: Insurance?

Question

I'm moving to another state in a few days. The moving company's price includes insurance worth $0.60/lb against breakage/loss. Higher levels of insurance are optional and are at additional cost.

The moving company says that my homeowner's insurance probably has a clause to cover any loss, but I checked with my insurance company and was told that goods in transit between homes are not covered for breakage/loss thru them.

I don't have anything of great individual value (ie - jewelry, antiques, etc) that will go on the moving truck.

My question is: Should I stay with the basic insurance offered by the mover ($0.60/lb), or should I pay for optional insurance with higher coverage?

My concern is whether additional insurance thru the mover would be a waste of money, as I'm not sure how easily it would be to collect on a claim anyway.

Also, is it typical for homeowner's policy to not cover damage to goods-in-transit?

Thanks!

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John A. Weeks III · Accepted Answer

Can you do the math and figure it out?  How many lbs will be moved?How many dollars of value is there?  What is the ratio of dollarsper pound?  What level of risk do you see?-john-

Douglas Johnson · Answer

That limit has been around for 30 years or more. It may have been significant then, but today, $0.60 a pound is nothing. Can you replace a sofa, if it weighs 100 pounds, for $60? Do you have a TV or stereo? Did you pay $0.60 a pound for it?

In my experience, it is not hard to collect on a claim., but that probably depends on the mover. Go for replacement value coverage, otherwise they will pay depreciated value. It covers more than the movers breaking and scratching something. Think truck fire or wreck.

My homeowner's policy has a 10% limit on personal property off site. There may be a total exclusion for in-transit.

-- Doug

-------------------------------------- Misc.invest.financial-plan is a moderated newsgroup where Moderators strive to keep the conversations on-topic for financial planning. Other posting guidelines include a request for brevity and another for trimming posts to which we respond. For all of the other tips and suggestions, see "FROM THE MODERATORS: Posting to misc.invest.financial-plan", a weekly post now on the Newsgroup.

PeterL · Answer

Well it depends on what you are moving. Like you said, you are not putting your Piccaso collection on the truck. So how much would it take to replace that ugly desk that they may break?

-------------------------------------- Misc.invest.financial-plan is a moderated newsgroup where Moderators strive to keep the conversations on-topic for financial planning. Other posting guidelines include a request for brevity and another for trimming posts to which we respond. For all of the other tips and suggestions, see "FROM THE MODERATORS: Posting to misc.invest.financial-plan", a weekly post now on the Newsgroup.

Home Relocating: Insurance?

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