Moving Insurance: Do you Need it? What is the Cost?

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.

What goes into an Estimate for Moving?

When you get an online estimate or an in-person estimate for moving from one place to another, it's nice to know what goes into it. There are several factors used to determine the total cost for your move. Here's a look at some of the major factors used in a moving estimate.

Your New and Old Addresses

The address you will have your belongings picked up at and the address where they will be dropped off is where the moving estimate starts. Good moving companies will ask for this information before they move forward with anything else. The more details you provider, the more accurate your quote will be, as well.

For example, if you're just moving from one apartment to another, the addresses are great, but knowing what floor the apartments are on is even more helpful. You may also need to inform the moving company if you have things at a second address needing picked up along the way.

The Amount/Size of the Things Needing Moved

Along with the location your stuff is going from and to, the amount of things and the size of the things you have will also be factored into the moving estimate. If you have a grand piano and a large pool table needing moved, along with regular household belongings, your moving estimate will likely be higher due to those large items. Again, the more details you can give a moving company about the things you want moved, the more accurate your quote will be.

The Time of Year You Want to Move

In Chicago, moving in the winter may have a different cost compared to moving in the summer. Just like any industry, moving has peak times and off-peak times. If you move during a peak time of year, it will likely cost you more because many others are also moving during this time of year.

Often, in Chicago, the peak moving times are in the spring and fall when school is starting and ending. However, you may run into other peak times, depending on what is going on and when you plan to move.

Factors Making Your Move Less or More Expensive

While the main three things going into your estimate are the locations, your things and the time of year you move, there are other factors that will affect the price. Here are a few things you should understand when it comes to a moving estimate.

Labor

The number of actual movers required to get your belongings from point A to point B is a huge factor in how much it will cost for your overall move. For example, if you have a heavy piano needing moved, it may require a third mover for safety reasons. Without a heavy item, the moving may be able to be done by two movers, which won't cost as much.

Time

The number of hours spent on the actual job also factors into the overall cost. If the move is estimated to take only 3 hours, it won't cost as much as a move estimated to take 6 hours.

Distance

Long distance moves cost more than in-town moves. If you're just moving a few miles across town, it won't cost as much as moving the same belongings outside of the city.

Understanding what goes into a moving estimate is necessary. Not only will the estimate make more sense to you, but it will also help you compare one company to another.

Long Distance Moving