Insurance Blindspots: What Moving Insurance Doesn’t Always Cover (and What You Need to Know)

Moving is stressful enough—packing boxes, changing addresses, and hoping your belongings arrive safely. Many people assume that moving insurance will cover anything that goes wrong, but that’s not always the case. In fact, most moving claims fall into a few “blindspots” that catch customers off guard.

This guide breaks down what moving insurance really covers, the difference between valuation and full replacement, what counts as “damage,” and what you’re responsible for as the customer.

What Most People Don’t Know About Moving Insurance

Before we dive deeper, here’s the biggest misconception:

Moving companies don’t technically sell “insurance.” They offer valuation coverage, which works very differently.

Traditional insurance is regulated by the state, while valuation is a mover’s contractual level of liability. This difference affects how much you get paid—and what’s excluded entirely.

Valuation vs. Full Replacement: What’s the Difference?

There are two main types of coverage:

1. Released Value Protection (Basic Valuation)

This is the free coverage required by federal law for interstate moves.

  • Pays $0.60 per pound per damaged item

  • Doesn’t consider the actual value of an item

  • Not suitable for electronics or furniture with high value but low weight

Example:
A 10-pound TV is damaged.
Payout = 10 lbs × $0.60 = $6

Ouch.

2. Full Value Protection (FVP)

This is the upgraded coverage most moving companies offer for an additional cost.

If an item is lost, destroyed, or damaged, the mover must:

 Repair it
Replace it with a similar item
 OR reimburse you based on current value

Sounds great, right?
But FVP has limits, exclusions, and conditions you need to know about.

What “Damage” Actually Means (According to Movers)

Here’s another blindspot:

Not every type of loss counts as damage under your valuation plan.

Movers typically cover:

  • Physical breakage

  • Items crushed or dented

  • Loss (missing items)

  • Catastrophic damage like fire or vehicle accident

But they usually don’t cover:

Pre-existing damage

Scratches, dents, or wear and tear noted on the inventory form.

Mechanical failure with no visible damage

Your TV turns on before the move but doesn’t afterward—yet shows no external damage.
Most companies deny these claims.

Internal damage to electronics

Unless you can prove mover negligence, it’s rarely covered.

Items in boxes you packed yourself

Movers aren’t liable for poor packing unless they packed the box.

Common Moving Insurance Blindspots You Should Look Out For

1. High-Value Items Require Special Declaration

Jewelry, art, antiques, collectibles, and specialty electronics often need to be listed individually.
If not declared, coverage may be limited or denied.

2. PBO (Packed by Owner) Boxes Are Risky

If you pack your own boxes:

  • Movers can deny claims due to “improper packing”

  • Damage must be visible on the outside of the box to be considered

3. Damage from Natural Disasters Is Often Excluded

Floods, earthquakes, windstorms, etc. may not be covered unless you buy third-party insurance.

4. Items Not Allowed by Movers Are Not Covered

This includes:

  • Hazardous materials

  • Perishables

  • Plants

  • Liquids that could leak

If you pack them anyway and they cause damage, you are fully responsible.

5. Cosmetic Damage May Not Count

Small scuffs or surface scratches might fall below the mover’s “repair threshold.”

What You Are Responsible For as the Customer

Even with full protection, you still have responsibilities:

Properly Packing Anything You Pack Yourself

Use sturdy boxes, bubble wrap, and padding.
Label fragile items.

Providing an Accurate Inventory

If something is missing but wasn’t listed, it’s nearly impossible to claim.

Inspecting Items on Delivery Day

If you don’t note damage during delivery, claims become harder.

 Filing Claims on Time

Many companies require claims within 30–60 days.

 Keeping Receipts for High-Value Items

Proof of value = faster claims + fewer disputes.

When You Should Consider Third-Party Moving Insurance

If you’re moving any of the following, third-party insurance is worth the cost:

  • High-value electronics

  • Antiques

  • Fine art

  • Expensive furniture

  • Musical instruments

  • Specialty items (drones, cameras, custom PCs)

Third-party insurance behaves more like traditional homeowners insurance—offering clearer coverage and fewer exclusions.

How to Protect Yourself: Smart Tips Before Your Move

Take photos of everything before packing
Record serial numbers of electronics
Label boxes clearly
Pack valuables and essentials yourself and carry them with you
 Get written documentation of your valuation choice
 Ask the mover for a list of exclusions—don’t assume anything is covered

Final Thoughts: Don’t Get Caught by Moving Insurance Blindspots

Moving insurance (or valuation) is helpful—but not perfect.
Understanding the limits before your move can save you frustration, money, and surprises on moving day.

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Read what people say.

Edward Anderson

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Cathy Smith

Joseph Caronna and his team arrived on time and worked hard to get the move done in the agreed timeframe. The team was pleasant to work with, courteous, and trustworthy.

Justin Lindenmayer

The Castle Express movers were fantastic - very friendly, showed up 15 minutes early, and were very amenable to my specific needs. I would definitely recommend them to others!