VALUATION PROTECTION
(AND WHY IT’S SO IMPORTANT when you’re moving).
For most of our clients, the idea of valuation protection for their move is a foreign one. You are hiring professional movers to protect your items and to have them transported safely, so why would you also need valuation protection? Well, there are a few reasons to consider valuation protection for your move.
First and foremost, let us say a professional mover does all they can to protect your items, but things do happen. After all, movers are still human, and accidents happen. The Federal mandated amount for a move is 60 cents per pound, which will barely cover the price of a few items in this market. There are also things that occur that limit a mover’s liability that they do not tell you; things like packing your own boxes, not telling your movers if your home contains an item of extraordinary value, such as a painting or work of art, or packing a dangerous or perishable item within your move. Even if everything is done correctly and you hired a full service moving company like Get Your Move On, let’s discuss an example of a catastrophic event which would require valuation protection.
Let’s use a full truckload of items and the worst possible event. A full truckload is roughly 12,500 pounds. With standard protection at 60 cents per pound, if the truck catastrophically goes off the side of a mountain, you would only be covered for $7,500. With the price of some flat screen televisions being what they are, how many items could you replace for that amount? Now, let’s say you purchased valuation protection for $400, which at our company would cover you at $40,000 and the same accident occurred. Your items would be covered for catastrophic loss for the total $40,000. This would allow you to re-furnish your home swiftly and get you back on track in the event everything in your truck is covered. How exactly does valuation protection work? With full coverage valuation protection, whenever possible, our order of action for a damage remains the same. Per the FMCSA (Federal Motor Carrier Safety Administration), we are required to attempt repair first, then discuss a comparable replacement, and after all other options have been done, a current market value settlement. Keep this in mind; the value of the item will not be the value at the time of purchase, but the depreciated value at the current market.
While we understand that in some instances it may be quicker to replace, we do have to follow the mandates set for us and others in the industry. As your moving advisors, an unwanted truth homeowners should hear is that sentimentality of an item does not transfer over to monetary value if damage happens. Now let’s discuss homeowners’ policies. A lot of our clients believe that their items are covered under their home insurance policy, and sometimes they are, however we cannot stress enough to contact your broker and make sure. Many times, the situation goes like this: Your items are covered in your home, and in your new home, but not during the transport of your items from one location to another. We see it time and again. Your broker should be well versed in their policy and can let you know if you are truly covered during the move.The last thing we want is for catastrophe to strike, and your insurance company tell you that your items were not in fact covered. Therefore, we require valuation protection for all of our moves; to always have your best interest at the forefront of your move, ensuring you are covered every step of the way.
Lastly, always know, any professional mover will own their responsibility when these things occur and take an honest open approach to resolving this. They should be upfront immediately if a damage occurs, and knowledgeable to go through the process to resolve it. A reasonable timeline for repair, comparable replacement, current market value settlement should be approximately 2 weeks. This is the standard we hold our team to, and we hope other moving companies do the same. When you are moving, investigate the valuation policies and for more information you can see the full explanation at the Federal Motor Carrier Safety Administration’s website.
