Whenever you are moving from your current home to a new one, always make sure you have valuation coverage. Your selected moving company will explain your options in detail. But to help you prepare for that conversation, this series of three blog posts will give you an overview of what valuation is, what it covers and what it costs.
The moving company will send send an employee to your home to do a visual survey of your items that they will be moving. The relocation consultant must be able to clearly see what is being moved in order to provide you with an accurate estimate.
If you know of items that are out of view or you won't be moving, be certain to point them out to the move consultant.
Once the visual survey is completed, the relocation consultant will calculate the weight of your belongings, packing costs and any other charges, such as valuation charges, related to your move. By law, the Federal Motor Carrier Safety Administration requires moving companies to offer two types of Valuation coverage:
- Released value protection (Basic Liability Coverage)
- Full value protection. (Extra Care Protection)
Released value protection is always built into your move quote and no additional cost to you.
For local moves Allied Van covers your shipment at 4.50 cent per pound, per item. This coverage of your possession is based on the weight and not their actual value.
This means that if your $600, 100-pound, 60” flat screen television breaks, the Allied moving company would compensate you $45.
Obviously, you should think carefully before agreeing to such an arrangement. If you choose this basic valuation coverage option, you must sign your quote indicating you are aware of all the Terms and Conditions.
For the Extra Care Protection Coverage (ECP) which most moving companies, including Victory Van, offer to all of their customers.
Extra Care Protection provides replacement coverage. It is full replacement coverage, no depreciation to worry about. Replacement isn't based on the weight of your goods nor the number of pieces you are moving.
Victory Van has a $250 one-time deductible on all local moves.
You pay the first $250, we cover the rest. That is how valuation is set up on a local move.
If you don't purchase ECP, then you will only have basic liability. Basic liability won't reimburse you very much if something goes wrong during your move. We may have broken the chair but you will only be reimbursed at $4.50 per pound of whatever that chair weighs.
The moving company will only pay you that very small amount for you precious goods. Hard to believe, right? That's why we always recommend that our customers purchase full valuation protection.
It is always good practice for any moving company's sales representatives to include full replacement coverage in your estimate. Then you can make the final decision whether or not to accept it.
Why Choose Full Valuation Protection
Most customers purchase full valuation just for the peace of mind. Customers aren't concerned so much if a chair gets broken or something gets a scratch. They understand that stuff can happen.
Customers want to know that if a moving truck goes off a cliff, they are going to be reimbursed $25,000 for their household goods!
If you did not have full replacement coverage you would not get the full replacement value. You would get the basic liability - $4.50 per pound.
Valuation Claim Process
When moving locally, you have 10 days after the delivery date to file a claim for a damaged item. The boxes that the moving pack, called CP Boxes or 'carrier packed boxes,' are all covered with the additional valuation coverage.
However, PBOs, or 'packed by owner' boxes, are generally not covered. The insurance underwriters won't typically pay out these claims because they have no way of knowing if you packed them properly.
Additional Information about Valuation
We know that this is a very confusing topic. It can even be confusing for people in the home moving and storage industry.
We recommend that you carefully read any proposal you receive from your mover. As you review the contract, write down any questions you have and get clarification from the moving company before you commit to anything.
Here at Victory Van, we spend as much time as needed with all of our customers. We come out to your house and review everything together. We also make sure you have a dedicated customer service person to help you throughout your entire home move.
Call us today for more information about valuation or for your free home moving quote.