Does Home Insurance Cover Moving?
Moving your possessions to a new home can be incredibly stressful. One great way to find some peace of mind is to check that your personal belongings are insured in transit. While home insurance policies typically cover your items beyond the walls of your dwelling, most home insurance policies won’t cover your property if it’s damaged or lost while moving. This lack of coverage might be due to holes in your current insurance policy or a gap between your policies. Either way, you can still take measures to insure your belongings during your move!
New Home, New Policy
Insurance carriers consider many factors that play a part in your home insurance policy. Some of these are exclusive to you, such as the number of claims you’ve made over a period of time or your involvement in special high-risk activities. For example, a professional boxer might have to pay more to have full liability coverage in his home insurance policy. Most factors, however, are exclusive to the home itself. This includes the location, the age of the house, and the age of the roof.
Since home insurance policies are catered to specific homes, you will need a new policy when you move! You could require a new type of insurance altogether, especially if you are moving from an owned home to a rental or a condo. Even if you stick with the same insurance carrier, your premium will most likely change with your new policy. It’s a great idea to have an insurance expert take a look at your options and shop for the new best policy for your budget and coverage needs. Depending on the carrier, an agent may also be able to get you a discount for buying a new-to-you home. Reach out to a TGS Insurance expert to learn more about your new home insurance policy options!
If you’ve already selected your new home insurance, take a look at the effective date of the policy! There can be a significant hole between the end date of your old policy and the start of your new one. Make sure you stay informed about what is covered and when.
Related Reading: Does Renters Insurance Cover Moving?
What Does Home Insurance Cover?
Your home insurance policy can be separated into six types of coverage, usually referenced as Coverages A-F. When you’re moving to a new home, though, it’s a good idea to take a closer look at Coverage C, your Personal Property Coverage.
Insurance is only designed to cover you in certain worst-case scenarios! Your policy will have a list of exactly what perils will or will not be covered, like fire or theft. Most policies do not cover lost or broken items. Some also exclude property in transit, regardless of the cause of the loss. So, does home insurance cover moving? Usually, it doesn’t, but you still have options!
Quick Insurance Terms
Loss: the amount of financial damage. For example, if a baseball came crashing through your closed bedroom window, the loss would be the amount of money to replace the shattered glass panel.
Peril: the cause of a loss. In our previous example, the peril would be vandalism. Some other common perils include theft, fire, lightning, earthquakes and windstorms.
Even if your property is covered by your home insurance during your move, it might not be covered at its full replacement cost value, or RCV. Standard insurance policies often limit Coverage C to just the actual cash value, or ACV, of your personal belongings. If an item was stolen that has depreciated in value over time, your insurance might not give you enough money to replace that item in today’s market.
If you’ve reviewed your policy with an insurance agent and you’re worried about holes in your coverage, you’re not out of luck! Some policies offer endorsements, or revisions, to help bridge those gaps. If you only have ACV coverage for your possessions, RCV coverage is likely available to be added to your policy. An inland marine endorsement is also an option to cover individual, high-value items, such as your great-aunt’s real diamond earrings. If you plan to schedule your personal property with an inland marine policy, make sure it’s appraised first.
Other Ways to Cover Moving
If the end date of your old home insurance policy is not the same as the start date of your new one, or if your current policy doesn’t cover moving, you have a few courses of action. Some insurance carriers offer endorsements or separate policies to cover your belongings while you move! This is often called moving or transit insurance. The coverage included in each policy will vary, so go over your options with an insurance agent to make sure your items will be covered.
Professional movers might also offer you a more limited form of coverage called a valuation. This will not cover natural disasters like earthquakes or lightning! The movers can also set limits on their liability if you failed to let them know about an expensive or fragile item in writing, or if you were the one who actually packed your items into boxes before transit.
If you do choose to hire the professionals, you’re eligible for a free type of valuation known as released value protection. For a shorter move, this covers $0.30 per pound for any lost or broken items. If you’re moving across state borders, that free protection increases to $0.60 per pound. While this is great coverage for an oak dresser, it barely makes a dent in covering a tablet. That’s why moving companies may also offer full value protection for purchase. Make sure you know exactly what will be covered and when; a valuation is much more limited than insurance.
Let TGS Insurance Do the Heavy Lifting During Your Move
TGS Insurance is here to simplify your move by making sure you’re covered through it all! Our independent insurance agents will compare rates among our A-rated roster of over 55 carriers to maximize your discounts and get you the best policy for you. Let our experts save you time and money today!