What Is Moving insurance & Do You Need It?
Moving can be an exciting new venture. Whether you are moving to a new home or office, across town or across time zones, you cannot let the anticipation distract you from making important decisions about your move. This is especially true with international moves.
From packing to unpacking, there are many steps and often many hands that will handle your belongings. Belongings that you value, so any damage or loss may have a significant impact, not just financially but also possibly emotionally. You can take every step in protecting against such damage or loss, but things do happen. Accidents occur, boxes get lost, and possessions could be stolen. This is where moving insurance comes in. It may not help in terms of sentimental items, but it can provide financial compensation for any loss if an unfortunate incident does occur.
This article will focus on types of insurance to consider as they relate to international moves, as Allied would like to make sure you are informed about the options you have when moving to and from Thailand.
What are the different types of moving insurance?
As you will see, there are various types of insurance available to cover your international move. Selecting which one is best for you will depend on your needs.
All-risk insurance
This is usually the most comprehensive coverage available. It covers almost every type of damage or loss under most situations that could arise during a move. This could include breakage from mishandling, theft, loss, or damage from natural disasters. Because of its wide-ranging coverage, all-risk often has quite high premiums, but it may be worth it if you have a lot of very valuable belongings. However, all-risk policies may have exclusions and caveats, so you need to carefully read through the paperwork and understand all the terms and conditions.
Total loss insurance
As its name implies, this type of coverage only kicks in if your entire shipment is lost during a move. This is normally done to protect against catastrophic events, such as a major fire, plane crash, or shipwreck. You will not be compensated if one or two items are damaged or lost, so, since this is for a serious disaster where everything is gone, which is usually not a high risk, the premiums are lower for total loss insurance.
Named peril insurance
Named peril offers coverage somewhere between total-loss and all-risk insurance. It can cover all losses and damages, but only if they were caused by specific causes, hence the name. Typically, this could include accidents during transit, damage from water, fires, or smoke, and certain types of theft. As with the all-risk policy, you should carefully read all documentation to understand what types of “peril” are covered before agreeing and paying for the insurance.
Specialized coverage
There are also other types of specialized or specific insurance, such as for:
- Automobiles: it may be that you want special coverage for a vehicle that you are taking with you on your journey overseas. This could enhance any existing moving insurance to protect your car or motorcycle.
- High-value items: you may have antiques or other collectibles that have great intrinsic and investment value for which you may want special protection in case of loss or damage.
- Transit: you may be most concerned with the transportation of your belongings. So, you could opt to insure against any loss or damage during transit, loading, and unloading.
- Delayed arrival: you may have a specific day that you must have your belongings by, or you do not want to be inconvenienced by not having your things after a certain date. Either way, this type of coverage can provide you with compensation or financial support if your shipment is delayed.
- Add-ons: you could also get additional coverage added on, such as for mold or mildew, if a piece of a set or pair (e.g., dishes, glasses) is lost or broken, or specifically for electronics that are damaged and irreparable.
If you are not sure what type of insurance is best for you, you can consult a trusted professional, such as Allied Movers, who can go through what you have and what you need to help you decide which type of coverage is best for you.
What to consider when looking into moving insurance
As mentioned a few times above, you should read all documentation carefully and make sure you understand all the terms and conditions involved before agreeing to any policy. You should look out for any exclusions, special riders, or caveats that may prevent you from making a claim. Also, you discuss whether your declared value will be the benchmark or whether there will be a valuation done by the company. Furthermore, deductibles can be confusing, so you will want to make sure you understand when your insurance kicks in and exactly what is covered. And since you are moving to another country, you should find out what the claims process is. Will the company have a presence in your new location, or will an agent or affiliate company take over?
Why should you get moving insurance?
First and foremost, you want peace of mind knowing that you will be compensated if your valuables are lost or damaged during their journey from your old location to your new destination. Moving insurance provides that, as well as financial protection against such losses. Furthermore, obtaining the insurance often comes with caveats and criteria, such as needing to employ professional packing to prove that care was taken to mitigate damage and hiring professional movers to mitigate the risk of theft. Moving insurance could help you take even greater care of your belongings.
Still not sure whether you need moving insurance? Allied is well known for many reasons, and one of them is our skill and expertise in helping customers decide the best option for their moves. If you are planning an international move soon, contact us today to discuss which type of moving insurance is best for you.