It doesn't matter if you're moving one neighborhood over or across the country; you may want to consider moving insurance. Before you decide to buy moving insurance, however, it's important to understand what it will protect and how much it costs.

Most homeowners choose a good moving company instead of going through the stressful process of packing and moving. Will using a residential moving company guarantee an item that covered if lost or damaged? Is the coverage offered good enough or should you get moving insurance?

Are Moving Companies Liable for Your Things?

Licensed moving companies in Illinois are liable for the value of the items they transport. If an item becomes damaged, while they are moving it, they are responsible. Moving companies have to offer two levels of liability, which are Movers Liability and Valuation.

With Valuation coverage, there is usually a fee associated. If an item is damaged the moving company will attempt to repair the damage and if not repairable the client will receive depreciated value for the item.

Movers Liability coverage is usually included in your move and the moving company will pay, if an item is broken. However, they only pay up to 30 cents per pound, per item. So, if you have a heavy coffee table worth $1,500 and it's damaged, the company only pays 60 cents per pound. Even if it weighs 100 pounds, that's only $30.

Buying Moving Insurance

These policies will provide coverage much like a standard insurance policy, which means you, will pay upfront for the coverage and pay a deductible if you make a claim.

It’s important to understand the type of protection you’re getting when buying moving insurance.  With some insurance policies, you will need to create a selected inventory to be covered, while other policies just cover the total value of your goods.

While you may not think you need the added coverage, you’ll probably wish you had it, if something does happen. Even the best moving companies cannot avoid every accident, but with good moving insurance, you’ll be covered.

Third-Party Moving Insurance

While purchasing moving insurance from a third-party may seem like a good idea, it can be rather expensive. This type of coverage can run anywhere from about $200 to $1,000, which is often much more expensive than purchasing additional coverage from your moving company. In addition, the deductible may be much higher in order to make the upfront rate lower.

Moving insurance offers an additional level of protection for your items when you need to move. If you don't feel like the required coverage offered by your professional moving company is enough, consider purchasing additional moving insurance from your moving company for full protection.